Healthcare reform has often been proposed but has rarely been accomplished. The country’s first attempt was the American Associate for Labor Legislation (AALL) of the 20th century. Speaker of the House Thaddeus Sweet vetoed the bill in committee.
In 1965, after 20 years of congressional debate, President Lyndon B. Johnson enacted legislation that introduced Medicare and Medicaid into law as part of the Great Society Legislation.
Various legislations have been introduced since 1996, including the Consolidated Omnibus Budget Reconciliation Act (COBRA) and the Health Insurance Portability and Accountability Act (HIPAA) that provide health insurance protection for some employees when they leave their jobs.
The 2010 Patient Protection and Affordable Care Act, often referred to as Obamacare, includes:
- The Affordable Health Care for America Act
- The Patient Protection Act
- The healthcare-related sections of the Health Care and Education Reconciliation Act and the Student Aid and Fiscal Responsibility Act
Since becoming law, additional rules and regulations have expanded upon the Patient Protection and Affordable Health Care for America Act.
The many layers of variance in all parts of healthcare is what makes this system so complex.
Choosing a healthcare plan illustrates the complexity of health insurance plans in the U.S. About half of Americans who have private health insurance are covered under self-insured plans, each with their own design. The other half of the insured population is covered under traditional indemnity plans, Health Maintenance Organizations (HMOs), or Preferred Provider Organizations (PPOs). The one commonality among all insurance plans is how dramatically they vary. Deductibles, co-insurance, co-payments, and maximum out-of-pocket expenses are a few of the inconsistent variables among insurance plans. Additionally, some insurance companies are for-profit and others are not-for-profit, indicating another point of confusion.
Insurance is not the only complexity within the system. The healthcare system itself is managed and regulated by dozens of federal and state agencies, including the Department of Health and Human Services, the Centers for Disease Control, the Center for Medicare and Medicaid Services, the Veterans Administration, the Food and Drug Administration, and the Agency for Healthcare Research and Quality. The 2010 Affordable Care Act added more agencies to this list, including state insurance exchanges and the Center for Medicare and Medicaid Innovation.
Each area of healthcare has its own complexities. As components of the larger healthcare system work together, the complex layers unfold. While change is expected in the coming years, it is likely to occur slowly.
Considering all these factors how can we expect the Healthcare industry to change in the Future? and Why do you feel it is necessary?