The U.S government had taken a more conservative 2014 forecast on Wednesday for Obama's health care impact. They stated that the program would not generate as much growth in health care spending and will be providing health coverage for only half of the uninsured Americans projected in 2012, Reuters reports.
This was mainly influenced by the Supreme Court's decision in the same year, which allowed the states to judge whether or not they need an expanded coverage for the public Medicaid plans for the unfortunate. Almost 50 percent of the states' leaders had voted against this expansion under Obama's health care reform act.
The Department of Health and Human Services is currently expecting 11 million uninsured citizens to acquire their coverage in 2014, which was previously projected at 22 million last year. According to a report published in the Health Affairs journal, health care spending will only increase by 6.1 percent next year which is so much lower than the 74 percent initial projection.
The report also estimated that only 8.74 million people will enroll themselves in the Medicaid program instead of the 20 million enrollment projected by analysts in 2012.
For states that will expand the program, the researchers anticipate that some would promote expansion of the Medicaid agenda after 2014, according to economist Gigi Cuckler from the HHS' Centers for Medicare and Medicaid Services.
Cuckler, together with her fellow researchers, forecasts that there would be a slower rate of growth spending from those who just recently got insured but previously get private coverage. This also includes those people who will go subscribe in the on-line market places of the state's health insurance.
Employers, individual markets and new market places will be soon offering private coverage for 2.9 million Americans who are uninsured. The Congressional Budget is anticipating about seven million subscriptions, from the marketplaces alone.
The contribution of the Obamacare to spending is seen to decrease 2015 onwards because of baby boomers retiring and shifting the momentum to Medicare programs intended for the older and handicapped population.
Annual growth in health care spending is projected to reach an average of 5.8 percent this decade and less than the high growth rates in the 1990s which reached almost 12 percent.
Obamacare is anticipated to have a spending increase in 2014 of 60 percent equivalent to $ 621 billion cumulative spending.
