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The affordable USA health care act was introduced with the aim of expanding and making health care services in the USA cheap and easily accessible to the all citizens. The act was established mainly to create universal treatment program and provide citizens with protection coverage alternative so that each and every of them can make a choice about his/her health status (James, 2010). This act was encouraged by the current USA present Barack Obama who has shown the need for health care reform as he promised in his campaign to the State House. The text contains the following clauses about the healthcare system: expansion of Medicaid, reducing minimum set qualifications about health benefits, prohibition of abortion coverage, organization employer providing coverage to all workers and more healthcare changes.
All health care reforms provide new channels for hospitals to create and increase their working facilities in an efficient and effective manner (Pear, 2009). This will give the hospitals an opportunity to be cost effective in terms of facility management.
New models have been created which make hospitals to develop the value service model and move away from the service fee model. This makes hospitals to be more sensitive in terms of fee charges.
When the act is adopted, there costs of the rapid medical care will be cut thus giving an opportunity to cover the uninsured costs in the long run. Furthermore, other projects which in past days were written off can be sponsored with the remaining money.
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Administration Costs.
Many hospitals will find it hard to manage a huge number of new patients and will have to spend more time in maintaining hospital manual work. Therefore, the administrative costs will increase due to the increased management costs and increased level of incoming data which keeps track of the insured patients.
Coverage.
The act provides medical coverage to millions of people, hence introducing new forms of challenges. When the level of access is below par, many challenges will come up in terms of providing medical services (Cole, 2009). This will result in the increased demand for health services with the low supply of health workers.
Payment decrease.
Since this act provides people with cheap healthcare services, there will be a rapid decrease in terms of Medicare reimbursement revenue. The estimated quantity of the government loss is $112 billions. Furthermore, we will experience a tax break down, which will affect the government in terms of raising revenue in order to maintain hospital costs.
Affordable health care act aims to provide quality and effective health care services to all USA citizens according to the US president. This act provides numerous benefits but on the other hand, the program faces a series of challenges. The USA government should encounter the reality and compose the necessary amendments.
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