Health insurance is a rather common topic for heated discussions and debates. One of those cases in the Massachusetts Healthcare Reform Act, which was enacted 16 years ago for providing almost universal healthcare coverage for all of the residents of the state. According to the act, all of the people living in Massachusetts aged 18 and older must have creditable insurance if it is perceived as affordable according to the Massachusetts Health Connector (The Horton Group, 2021; Mass.gov, 2021). Said coverage is required to follow minimum creditable coverage standards, encapsulating multiple medical services, limiting one’s financial costs and banning limits on specific benefits. The MHRA had a mixed reputation, because it had multiple advantages and disadvantages throughout its history. The first one is the aforementioned coverage of multiple medical services. This act has slowed the growth of healthcare spending, which is its second benefit. The third advantage is, as stated earlier, that there should be no limits on the benefits.
However, the disadvantages are quite significant as well, making its existence debatable. First, residents without the minimum creditable coverage are forced to pay a tax penalty per month of non-compliance. Second, consumers and businesses, in spite of the decreased growth of healthcare spending, struggle with the increasing costs each year (McCluskey, 2022). Third, according to MCHIA, 25 percent of the residents of the state had to deal with medical care, struggling with unmet needs due to its costs (HCFA, 2021). Fourth, the commission leaders require extra authority to impose larger fines on providers and insurers that exceed spending aims. This means that the law does not fully consider the population’s approach to health and wellness. According to executive director of the HPC, David Seltz, in order to improve the project, there needs to be more pressure to decrease spending growth, while guaranteeing that insurance companies are transmitting the savings to consumers in a noticeable form, i.e. premiums, deductibles and co-pays. That way, there can be a promising future for the MHRA, as the flaws would be amended and people’s needs would be met.
References
HCFA. (2021). When coverage doesn’t equal care: Massachusetts agency finds health care is unaffordable for a quarter of residents. Health Care For All – Advocates for Health.
The Horton Group. (2021). Health care reform – Massachusetts.
Mass.gov. (2021). Health care reform for individuals.
McCluskey, P. D. (2022). 10 years after a landmark health care law, the push to contain costs may be Stalling. WBUR.