How Would You Modify the ACA?

[houcoogster]

The Family Glitch is in my opinion is the most pressing problem to date. Specifically the Spousal Group coverage issue. The Law is named the Affordable Care Act but spousal coverage is far from affordable in many instances. Break the shackles and chains from these group plans and let them go!

Delay the Employer Mandate to infinity!

 

[timsip]

Move OE to May1-June 30 and base subsidy on reported prior year MAGI. Goodbye clawback issue.

Eliminate restrictions on use of HSA dollars placed through the ACA; expand the use of the HSA.

Give option to opt out of Medicaid and receive subsidy for lowest income prior to Medicaid eligibility. Even better, eliminate Medicaid and provide subsidy for private IFP coverage equal to per person Medicaid expenditure or just continue subsidy calculation down to zero MAGI (add those millions of people to the insurance carrier pools).

Add incentive for medical professionals to locate to rural areas. Add incentives for more medical professionals including family physicians, nurse practitioners and physician assistants. You know, address one of the biggest reasons medical costs are rising: massive demand with limited supply.

 

[AllenChicago]

Get rid of open enrollment and allow year round purchase but with a 90 - 180 day wait on p-x conditions.

Somarco, how long have you held this sentiment? Sounds exactly like what I'd like to see as well. We'd still have SEPeriods with no Pre-X for Birth, Moving, Loss of Insurance, etc.. of course.
ac

 

[FLM2]

Move OE to May1-June 30 and base subsidy on reported prior year MAGI. Goodbye clawback issue.

QUOTE]

Excellent idea, the clawback issue, if it is not resolved, will become the point of a huge public outcry next year and is not only completely unfair but also keeps me from writing exchange policies as I want no part of any client getting a large bill from the IRS after receiving a subsidy.

 

[RayNY]

EDIT: **As pointed out by the posters below, the response in this post is correct for the PENALTY but not the clawback. Anne clarified that they do have some more options for reclaiming the penalty (like a filed but unpublished lein). I misspoke, but the post is staying here unaltered so anyone that stumbles upon it knows what's going on. Just replace "clawback" with "penalty" and remember we're all human **

No one gets a bill, you know this FLM. They reduce your tax refund by your clawback. If the clawback is greater than the tax refund, then they twittle their thumbs and wait for next year (unless something changes).

Somarco, your idea is too good for our gov't to attempt. That makes way too much sense.

IMO, the law is perfect and doing exactly as intended-screw up the market enough for the next president to "save the country" and institute single payer.

 

[cadylou]

If they're going to continue to have enrollment periods - do them right after tax time, so that people are operating on their most recent income reported to the IRS, instead of this "projected" income that will yield too many surprises for the insured, year over year. Also, expand the role of "independent" agents & brokers.

 

[Yagents]

No one gets a bill, you know this FLM. They reduce your tax refund by your clawback. If the clawback is greater than the tax refund, then they twittle their thumbs and wait for next year (unless something changes).

Incorrect, the clawback will be billed and due in full just like any other federal tax due.

You are correct if you are speaking about the penalty, as the only means to collect is through a tax refund.

 

[FLM2]

No one gets a bill, you know this FLM. They reduce your tax refund by your clawback. If the clawback is greater than the tax refund, then they twittle their thumbs and wait for next year (unless something changes).

Somarco, your idea is too good for our gov't to attempt. That makes way too much sense.

IMO, the law is perfect and doing exactly as intended-screw up the market enough for the next president to "save the country" and institute single payer.

Not true at all, as Yagents pointed out.

 

[houcoogster]

Move OE to May1-June 30 and base subsidy on reported prior year MAGI. Goodbye clawback issue.

QUOTE]

Excellent idea, the clawback issue, if it is not resolved, will become the point of a huge public outcry next year and is not only completely unfair but also keeps me from writing exchange policies as I want no part of any client getting a large bill from the IRS after receiving a subsidy.

You can still write exchange biz without taking the Advanced Subsidy....if they are due any subsidy they will just deduct it from the tax bill at years end.

 

[Ann H]

Actually, the IRS can bill you for the penalty. They are just not allowed to take certain collection actions. This is a highly misunderstood issue, and one I keep hammering away at. The media says the IRS cannot collect except by a refund. Not true.

On 3-7-2014, I posted this:

http://www.insurance-forums.net/for...-forum/aca-tax-penalty-calculator-t62918.html

The IRS is limited in collection activities that it can use to collect the penalty. The easiest way to get the money is from your refund. But it's not the only way.

They cannot PUBLISH a lien, either. But they can file a lien. If it's not published, most entities (like banks) won't know it exists. But the government knows. So, if you are due any money from the government (like grants, stimulus checks, back payments for SSDI, refunds, or....... possibly APTC) they can take your penalty amount out of those government checks. Also, it is quite likely that those dealing in complex transactions (like real estate for instance) will look for liens like that.

So, just like Yagents keeps hammering that the penalty is not $95, it's the greater of $95 or 1% of income, I keep hammering that the penalty can be collected from a lot more than just your tax refund.​