Key Provisions of the House Health Care Bill

The House passed H.R. 3962, called the "Affordable Health Care for America Act," in a 220 to 215 vote on Saturday night. Here's a look at some of the provisions in the $1.2 trillion dollar bill:

  • Creates a public health insurance option and a national exchange for the uninsured and small businesses to purchase health insurance. The Secretary of Health and Human Services would negotiate rates with doctors and hospitals on reimbursement rates.

  • The bill includes mandates for individuals to purchase and businesses to provide health insurance or pay a fine. Individual penalty is 2.5 percent of gross income unless they get a waiver. Businesses that don't offer insurance pay a fine equal to 8 percent of their payroll. Businesses with a payroll of less than $500,000 are exempt from the mandate.

  • Insurance companies are prohibited from denying coverage based on a pre-existing condition. There are caps on deductibles and annual out of pocket spending is capped at $5000.

  • Eliminates the Medicare doughnut hole over ten years.

  • Allows individuals up to 27-years-old to stay on their parent's health insurance

  • Expands Medicaid from 100 percent to 150 percent of the Federal Poverty Level.

  • Provides tax subsidies for individuals between 150 and 400 percent (sliding scale) of the Federal Poverty Level. There are also tax subsidies for small businesses.

  • As amended, it prohibits federal funds from covering abortions. Women would need to purchase riders to insurance purchased on the exchange if they wanted that coverage.

  • The bill taxes individuals making more than $500,000 and $1 million for couples. It is a 5.4 percent tax.

  • Reduces overpayments to doctors who treat Medicare Advantage patients. It is estimated they are paid 14 percent more than doctors who treat Medicare patients.

    CBSNews.com Special Report: Health Care


    (CBS)
    Jill Jackson is a CBS News Capitol Hill Producer. You can read more of her posts in Hotsheet here. You can also follow her on Twitter.
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      Jill Jackson is a CBS News senior political producer.

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