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Affordable Care Act (Obamacare)

Definition

The Affordable Care Act, also known as Obamacare, is a healthcare reform law enacted in 2010 under President Barack Obama. Its main goal was to make health insurance more affordable and accessible for all Americans.

Analogy

Imagine if your school decided that every student should have access to healthy meals, regardless of their ability to pay. That's what Obamacare aimed to do with healthcare - ensure everyone had access.

Related terms

Medicaid Expansion: This refers to one aspect of Obamacare which expanded Medicaid eligibility so more low-income individuals could receive healthcare coverage. It’s like offering free lunch program eligibility to more students who need it.

Individual Mandate: A provision in Obamacare requiring all individuals not covered by employer or government-sponsored insurance plans to secure their own health insurance or pay a penalty. Like making it compulsory for every student without personal books or library membership, to get one or face detention.

Health Insurance Marketplace/Exchange: These are online platforms where people can shop for and compare different health insurance plans under Obamacare. It’s like having an online portal where students can compare and choose their meal plans based on dietary needs and affordability.