The federal government is preparing to design the framework of a new basic benefits package for privately insured Americans, which is part of the Patient Protection and Affordable Care Act, according to an Associated Press/Washington Post report.
The PPACA requires insurers to provide at least a federally approved package if they are selling health plans to small businesses, families and individuals through health insurance exchanges in 2014. Roughly 68 million Americans, many who are currently insured, would be affected by this new benefits package. However, most existing workplaces do not have to adopt the federal model, although the health plan could become a benchmark for health insurance in the long run, the report said.
The Institute of Medicine is advising the federal government on what to include in the benefits package. The PPACA requires essential benefits to include outpatient, inpatient, emergency, maternal, prescription drugs, newborn and child care, mental health and other elements, according to the report.
However, the IOM stressed the benefits package must be affordable. According to the report, annual premiums for individual coverage under the benefits packages should range from $5,500 to $7,000 in 2014, which is similar to what employers currently pay.
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The PPACA requires insurers to provide at least a federally approved package if they are selling health plans to small businesses, families and individuals through health insurance exchanges in 2014. Roughly 68 million Americans, many who are currently insured, would be affected by this new benefits package. However, most existing workplaces do not have to adopt the federal model, although the health plan could become a benchmark for health insurance in the long run, the report said.
The Institute of Medicine is advising the federal government on what to include in the benefits package. The PPACA requires essential benefits to include outpatient, inpatient, emergency, maternal, prescription drugs, newborn and child care, mental health and other elements, according to the report.
However, the IOM stressed the benefits package must be affordable. According to the report, annual premiums for individual coverage under the benefits packages should range from $5,500 to $7,000 in 2014, which is similar to what employers currently pay.
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