What is the Affordable Care Act?
The Affordable Care Act (ACA), also known as Obamacare, helps make health insurance more affordable and accessible. It created opportunities for eligible consumers to save on health coverage, established standards for what health plans must cover and expanded protections for people with pre-existing conditions.
Whether you're shopping for coverage for the first time or exploring new options, understanding the ACA can help you make more informed decisions about your health insurance.
What does the ACA do?
The ACA helps make health insurance easier to access and use by:
- Requiring plans to cover essential health benefits
- Preventing insurers from denying coverage because of pre-existing conditions
- Offering financial assistance to eligible individuals and families
- Establishing annual enrollment periods for coverage changes
- Creating standards that help consumers compare health plans more easily
These protections help millions of Americans access comprehensive health coverage at a more affordable cost.
What health coverage is regulated by the ACA?
ACA rules generally apply to individual and family health plans, whether you buy coverage directly from a health insurer like Priority Health or through the official Marketplace.
If your coverage doesn't come through an employer, Medicare or Medicaid, there's a good chance it's governed by ACA rules and consumer protections.
Who can get ACA coverage?
ACA plans are designed for individuals and families who don't get coverage through an employer, Medicare or Medicaid. Eligibility for financial assistance depends on factors such as household size, income and where you live.
When can you enroll?
Michigan residents can shop for ACA-compliant individual and family health plans during the annual Open Enrollment Period or during a qualifying Special Enrollment Period.
Learn more about ACA eligibility and qualifying life events.
What do ACA plans cover?
ACA-compliant plans cover essential health benefits, including preventive care, prescription drugs, hospitalization, maternity care, mental health services and more.
Because every ACA plan includes these core benefits, you can focus on comparing costs, provider networks and plan features that matter most to you.
See what's included in ACA health coverage.
Protection for pre-existing conditions
One of the ACA's most important consumer protections is that insurers can't deny coverage or charge higher premiums because of a pre-existing condition. This protection helps ensure people have access to health coverage regardless of their medical history.
How the ACA can lower your costs
Many people are surprised to learn they qualify for savings through the ACA, including:
- Premium tax credits that lower your monthly payment
- Cost-sharing reductions that reduce deductibles, copays, and coinsurance
Marketplace vs. direct enrollment
You can purchase ACA-compliant coverage through an official Marketplace or directly from a health insurer. Both options provide ACA protections, though plan availability and the shopping experience may differ.
Learn more about enrollment options.