2009 Stimulus Package - What it Means For Medical Care

The American Recovery and Reinvestment Act of 2009 has made many Americans hopeful about a better economy sometime in the not so distant future. The American Recovery and Reinvestment Act will bring forth changes from providing additional tax credits for individuals and businesses to instating economic recovery tools. One of the biggest questions is what will the act do to improve medical coverage and care in America. The American Recovery and Reinvestment Act will make provisions for health insurance assistance, state fiscal relief and Medicaid and health information technology.

Health Insurance Assistance

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Due to a failing economy, numerous people have faced layoffs which in turn caused a loss of affordable health care coverage. The American Recovery and Reinvestment Act will assist by issuing a bill that will provide a 65% subsidy for COBRA continuation premiums. This assistance will last for up to 9 months for those workers that were involuntarily terminated. On average, COBRA premiums run 00.00 per month, so a 65% subsidy would allow terminated workers to still afford medical care for their families. To qualify for assistance, workers must be terminated between September 1, 2008 - December 31, 2009 and their yearly income cannot exceed 5,000 (individual) or 0,000 (family). If an offer of employment is accepted and benefits are available. COBRA assistance will terminate.

State Fiscal Relief & Medicaid

The American Recovery and Reinvestment Act will provide many changes to state fiscal relief and Medicaid, including a temporary Federal Medical Assistance Percentage (FMAP) Increase. FMAP funding will be increased over a 27 month period. The increase began on October 1, 2008 and will remain in affect until December 31, 2010. All states will receive an increase of 6.2%, as well as a decrease in their financial obligations for Medicaid. By lowering the Medicaid obligations, states will be able to offer assistance to more families in need.

Health Information Technology

The American Recovery and Reinvestment Act will promote the use of health information technology (health IT), such as electronic health records. The government will be responsible for developing standards for electronic records by 2010. These standards will allow a nationwide exchange of health information. It will allow health providers to save time, money and space, as well as improve the quality of care that patients receive. Electronic record keeping will allow doctors to access patient information any time, any where and from any location. This will ensure that no information is misplaced or overlooked. Doctors will be able to view a patient's medical history, allergies, family history, etc. with the click of a button. There will be no need for cumbersome filing systems which take up needed office space. Records will be easily searchable, saving nurses and aides valuable time that could be better spent assisting patients. The Government standards will uphold current regulations to make sure patient medical records are held in the strictest of confidence.

With all the changes the American Recovery and Reinvestment Act promises to bring, hopefully we can expect a brighter future.

2009 Stimulus Package - What it Means For Medical Care

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