1 / 12

Effects of Federal Policy to Insure Young Adults: Evidence from the 2010 Affordable Care Act’s Dependent-Coverage Manda

Effects of Federal Policy to Insure Young Adults: Evidence from the 2010 Affordable Care Act’s Dependent-Coverage Mandate. Chad Wilkins. Issue at hand.

elise
Download Presentation

Effects of Federal Policy to Insure Young Adults: Evidence from the 2010 Affordable Care Act’s Dependent-Coverage Manda

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Effects of Federal Policy to Insure Young Adults: Evidence from the 2010 Affordable Care Act’s Dependent-Coverage Mandate Chad Wilkins

  2. Issue at hand • Young adults have historically high uninsurance rates. Full-year uninsurance among young adults ages 19-25, was 37 percent based on Current Population Survey data for 2008 • Uninsurance among young adults causes large reductions in their use of health care services. • Lack of health insurance is tied to financial problems, and imperfections in the market for individually purchased coverage. • There have been prior policies that have tried to increase children’s health insurance, but these plans phased out once individuals turned 19.

  3. Affordable Care Act Provision(ACA) • The Affordable Care Act Provision which took effect on health plans and insurers that offer dependent coverage would allow children to stay on their parent’s health insurance plans until their 26th Birthday. • This mandate became effective after September 22, 2010 • This expansion was an important aspect to the Health Reform Act Package.

  4. Goals for the (ACA) • To strengthen overall Health Care . • Make coverage more affordable for families and small business owners • Bring down skyrocketing healthcare costs that have put a strain on individuals, families, employers, and our Federal Budget. • To decrease the percentage of young adults ages 19-25 who are uninsured.

  5. Purpose of this Study • By using data from the Survey of Income and Program Participation, covering the time frame between August 2008 to November 2011- to see how the (ACA) has affected…. 1. Young adults health care outcomes 2. Insurance rates, insurance substitution patterns 3. Job flexibility of young adults 4. What demographics got affected the most

  6. Data, graph 1 This shows the percent of young adults insured before and after the (ACA). You can see once the mandate was introduced the percentage of young adults insured increased from 66 percent to as high as 72 percent.

  7. Data continued…graph 2 This data shows the effects on the percent of people that are insured through employer dependent coverage, Individually purchased insurance, employer own coverage and government provided insurance (before and after the ACA)

  8. Results from graph 2 • Overall individuals ages 19-25 insured before and after… 66 percent to 78 percent. • Employer dependent coverage (through parents) before and after… 23 percent to 30.3 percent • Individually purchased insurance before and after… 3.5 percent to 2.3 percent • Employer own coverage before and after….. 20 percent to 21.4 percent • Government provided before and after…… 12 percent to 20 percent

  9. Data….graph 3

  10. Results from graph 3 • The age group that was most affected by the ACA were indeed individuals who were 19-25 • The percentage of males insured increased by 8 percent were as females insured only increased by 4 percent. • Whites insured increase to 8.7 percent where as minorities insured on increased by 4.2 percent. • The ACA affected non-married individuals more than married individuals.

  11. Conclusion • Since the ACA was introduced there has been a steady rise in parental ESI, with the average effect after implementation began showing 2.06 million young adults being insured • The ACA has erased 1/3 of the people uninsured who are 19-25. • People who have lower marginal costs and higher marginal benefits will opt for parental coverage. • ACA has reduced “job lock” for young individuals, easier for individuals to switch jobs. • Job lock-staying at a job because you have health insurance through them.

  12. Conclusion continued… • Overall insurance rates increased by 3.2 percent. • There was a 10 percent increase in dependent coverage insurance. • This had a greater positive affect among those whose parents already covered other dependents, greater for whites relative to nonwhites, for single individuals relative to married individuals, and for nonstudents relative to students. • For the people who still remain uninsured despite the fact that their parents have an insurance that offers dependent coverage- are individuals whose characteristics indicate lower socioeconomic status.

More Related