What does the Patient Protection and Affordable Care Act require?

• A. Universal healthcare for all citizens
• B. Subsidies for all private insurance
• C. Requires everyone to purchase health insurance or pay a fine
• D. Abolishes employer-sponsored coverage

Answer: (C)

The key idea here is the individual mandate. The ACA requires most people to have health insurance that meets minimum standards or pay a penalty. This is designed to create a broad risk pool so that healthy and less healthy individuals are contributing, which helps make premiums more affordable for everyone. Subsidies are available to help some people afford coverage, but they are targeted to those with qualifying incomes, not subsidies for all private plans. The law does not establish universal government-provided healthcare, and it does not abolish employer-sponsored coverage; employer-sponsored plans remain a major pathway to coverage.