Patient Protection And Affordability Act

777 Words Sep 22nd, 2014 4 Pages
Patient Protection and Affordability Act The Patient Protection and Affordability Act (ACA) was enacted by President Barack Obama’s Administration on March of 2010. The ACA was designed to generate healthcare reform, and is actually the most comprehensive law affecting managed care legislation since Medicare and Medicaid were enacted in 1965 by President Lyndon Baines Johnson (Kongstvedt, 2013). One of the main reasons for the creation of the ACA has been to contain out of control healthcare costs in the U.S. by transforming the manner in which hospitals are paid for surgeries (Chow, 2013). The new role that government will play in the healthcare sector will undoubtedly effect current healthcare practices. One major factor of the Affordability Care Act, which was implemented in January of 2014, targets the manner in which payment is made for services rendered (Chow 2013). For instance, a provider was typically paid for performing a surgery on a patient without considering the quality of care provided. If additional procedures were required to address any complications stemming from the first procedure, the provider would be entitled to additional revenue. This was the fee for service feature that the healthcare delivery system operated under for so many years. The new provision in the ACA will only allow a one lump sum upfront to cover the surgery and any complications that occur after surgery (Chow, 2013). Under this new provision a hospital could stand to…
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