President Biden to propose changes to fix flaws of Affordable Care Act

The Biden administration is set to propose changes to the Affordable Care Act to expand healthcare access for US citizens. The proposed changes would enable some people to get health insurance for their families. At present, workers cannot avail of ACA subsidies to lower their premiums if their employers provide them with affordable health insurance coverage. Moreover, the current system's flaw, popularly known as the "family glitch", does not cover workers' spouses or children.

The proposed changes aim to provide more options for insurance coverage. According to federal officials, the proposed changes would enable about 200,000 uninsured people to gain coverage.

The proposed rules will allow non-employee family members to receive financial assistance in the form of tax credits if the coverage cost for the whole family exceeds 10% of their household income. The proposed changes are scheduled to take effect from January 1, 2023.


Kaiser Family Foundation analysis states that about 85% of the people trapped in the family glitch end up paying more for health insurance than those who get ACA subsidies. The study added that among this 85% of the people, over 50% are children. Besides, women's percentage is 60% among adults trapped in the family glitch, said the Kaiser report. It also highlighted that Texas, Florida, California, and Georgia have the most number of people affected by the family glitch.

US president Joe Biden is expected to announce the change on Tuesday. He will also be joined by former President Barack Obama, who will come to the White House to celebrate the 12th anniversary of the health law. The health law was passed in 2010 under the Barack Obama regime.

Earlier, 49 Democrats had also requested President Biden to address the issue of the family glitch. They had stated that the current system does not consider that family insurance coverage costs more than individual health insurance.