The Patient Protection and Affordable Care Act went into effect on Oct. 1. For many Americans this means they must now purchase health care or face a penalty by Jan. 1, 2014. Under the new bill, all Americans are required by law to be covered under an approved health care plan or pay a fine when filing for 2014 federal income taxes.
Although the health care bill states that all Americans must have health insurance by Jan 1., college students with little to no income still have options. The Affordable Care Act, passed in 2010, states children are able to stay on their parent’s healthcare plan until the age of 26.
One stipulation of the Affordable Care Act is that the fee does not apply to households or individuals whose total yearly income is less than the minimum amount required to file a tax return.
For individuals, this minimum is $10,000 for 2013, and for a family it is $20,000 for 2013, according to the Washington Post. Another exemption is if the lowest priced health care option available costs more than 8 percent of an individual’s total income. Many college students have little to no income annually and will not face fines for failing to purchase health care, but they also may qualify for free health care through Medicaid.
For individuals making more than $10,000 annually and failing to purchase insurance, the fine for 2014 will be $95 or 1 percent of the total income, whichever is higher, according to healthcare.gov.
Another option for students is to purchase health care from the online marketplace at healthcare.gov. On the marketplace shoppers can create an account, enter personal information regarding income and house size, compare plans and enroll in the most suitable option. The enrollment period for the online marketplace is between Oct. 1 and March 1, if a plan is not purchased within this time frame, it cannot be purchased until the next enrollment period.
In 2015 the fine for being uninsured will be $325 or 2 percent of total income, and rising to $695 or 2.5 percent of total income in 2016. After 2016 the fee will rise annually based on the cost of living.
Harding offers health care coverage for students enrolled in six or more credit hours. The plan is offered through Arkansas Student Health Insurance, a National Union Fire Insurance Company based out of Pittsburgh, Pa. The plan will cost individual students $300 a semester, or $600 for a 10-month term.
Harding’s College Republicans held a meeting last Thursday, Oct. 3 to discuss healthcare reform. Mary Kate Collins, the chair of Harding’s chapter of College Republicans, said she recognizes that the Affordable Care Act will affect each and every citizen of the United States.
“This is the first time as a breathing individual that you have a minimum requirement, and you have to buy this,” Collins said.
One more option for Harding students, and an exemption to purchasing health care recognized by the IRS, is to join a health care sharing ministry called Medi-Share. According to their website, Medi-Share is “a health care sharing program where Christians share financial resources to pay each other’s medical expenses.” Laneigh Pfalser, vice chair of the College Republicans, said she agrees with Medi-Share’s mission and said it is a Christian’s responsibility to insure people’s health.
“It is our Christian duty to take care of people, not the government’s,” Pfalser said. “It’s easier for the government to have all these systems, but it’s not the right thing to do. The right thing to do is for us to get out of our comfort zones and spend the time and effort that it takes to give to individuals in need and care for those people not only through healthcare but also at the same time by sharing with them the love of Christ.”
