Which statement accurately describes the Affordable Care Act?

The Affordable Care Act (ACA) is a significant piece of health care legislation that was enacted in 2010 with the goal of increasing health insurance quality and affordability. One of its key provisions is that it requires insurance plans to cover essential health benefits. These benefits encompass a wide range of services, including preventive and wellness services, maternity and newborn care, mental health and substance use disorder services, prescription drugs, and more. By mandating these essential health benefits, the ACA aims to ensure that all individuals have access to necessary medical services without facing prohibitive costs.

This requirement is crucial in protecting consumers and improving overall public health, as it ensures that insurance plans provide a baseline of comprehensive coverage.

Other options do not accurately reflect the provisions of the ACA. For instance, while the ACA does limit out-of-pocket costs, it does not eliminate all co-payments for healthcare services, nor does it allow insurance providers to deny coverage based on pre-existing conditions; in fact, it prohibits such practices. Furthermore, the ACA does not provide free insurance to all citizens; rather, it aims to make insurance more affordable and accessible, often through subsidies and the establishment of health insurance exchanges.