Ezra has a short post answering the question of a self-employed, single mother with income of around $38,000 per year about the impact of health care reform legislation on her situation. Basically, once health care reform fully kicks in, she will be able to purchase insurance for herself and her children for about $1,500 a year, or approximately $125 per month. Under the Patient Protection and Affordable Care Act, the bill passed yesterday, she will be guaranteed a subsidy that is worth at least $9,300 a year. (My figures differ a bit from Ezra's, who indicates the subsidy is worth over $11,000 -- I am not sure if he is calculating in the value of being in a purchasing pool.)
Either way though, this legislation makes purchasing health insurance coverage highly affordable to someone of very modest means. (On the open market of today, such insurance would likely cost at least half of her take home pay.)
A concerted effort needs to be undertaken to answer just such questions of people of modest means. I am sure that many such people have no idea what this legislation likely means to them. My only concern is that they won't get this benefit until 2014. It would be nice to be able to accelerate this package -- like maybe to 2012.