Patient Protection and Affordable Care Act

Definition

The Patient Protection and Affordable Care Act, commonly known as Obamacare, is a federal statute enacted in 2010 aimed at expanding healthcare coverage, reducing healthcare costs, and improving healthcare system efficiency in the United States. It mandates individuals to have health insurance and allows for the creation of health insurance marketplaces where consumers can compare and purchase insurance plans.

Related terms

Healthcare Marketplace: An online platform that allows individuals and businesses to shop for health insurance by comparing different plans based on coverage options, prices, and quality.

Individual Mandate: A requirement that all Americans have health insurance or pay a penalty, designed to ensure that healthy individuals participate in the healthcare system alongside those who require more medical attention.

Medicaid Expansion: A provision of the ACA that allows states to expand Medicaid eligibility to cover all adults with income up to 138% of the federal poverty level, aimed at increasing access to healthcare services among low-income populations