Affordable Care Act, which is also known as “Patient Protection and Affordable Care Act,” (PPACA) is a written law passed by federal government. A common name used is “ObamaCare” for this act. It was passed on 23rd March, 2010 by President Barack Obama. It is the most important act of regulation related to the health care, after the Medicare and Medicaid which were passed in the year 1965. The main purpose of this act is to reduce the cost of health care for public and government both. Rate of uninsured individuals has risen to a large extent and ACA is intended to lower the uninsured rate. This is done by the expansion of the insurance coverage of both public and private sectors. This includes several mandates and subsidies for the individuals and hospitals. All the insurance companies are required to set the minimum standards for providing the insurance to all the people who are applying for this. No discrimination is allowed on the basis of the gender or other conditions. All those who left uncovered in the employment insurance, Medicare and Medicaid, are supposed to be covered. This is intended to lower the future deficit and the spending in the medical sector. According to the court states are not bound to practice the act under the penalty of losing the current Medicaid funding (Pear).
Studies in 2014 indicated that the number of people who were not insured for health care services has reduced more than 9Million people had obtained insurance under this act till the last studies in 2014. General public had some negative thoughts and views against the act. Many demanded that children until the age of 26 should remain on their parents insurance rather than their own individualized insurance. Insurance companies denied insuring the individuals who had pre-existing conditions. Businesses with more than 50 employees were responsible to provide insurance for their employees, which was strongly proposed by the businesses and appreciated by the individuals. However many states opposed this act and refused to practice this in their states.