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Life Insurance Health Care Reform News Update for December, 2017. To have update about Life Insurance Health Care Reform News Update for December, 2017 with last week’s repeal of the Affordable Care Act’s individual mandate, Vermont is the latest state to explore its own version of the provision. Here all about Life Insurance Health Care Reform News Update for December, 2017. For latest Life Insurance Health Care Reform News Update for December visit bellow, You will have Life Insurance Health Care Reform News Update for December all dates.
Vermont to Consider State Individual Mandate
If the number of uninsured Vermont residents rises, Governor Phil Scott will review a state mandate that requires all citizens to have health coverage or pay a penalty, said Al Gobeille, Vermont’s secretary of the Agency of Human Services.
ACA Signups Drop to 8.7 Million
The latest enrollment figure for the federal healthcare exchange has dipped to 8.7 million, about 80,000 fewer enrollees than announced last week. The drop in signups was mostly due to late cancellations.
The latest count also includes 66,000 new last-minute signups. Enrollment has reached almost 95 percent of last year’s numbers, even with the enrollment period cut in half.
The final ACA enrollment number will not be available until March due to the longer enrollment period for some states, including California and New York.
Life Insurance Health Care Reform News Update for December, 2017
4 in 5 ACA Plan Enrollees Live in Trump-Backed States
Eighty percent of people who recently enrolled in health plans on the federal exchange live in states that President Donald Trump won in the 2016 election, according to an Associated Press analysis. The analysis also found:
- The president won the four states with the largest number of enrollees—Florida, Texas, North Carolina, and Georgia.
- Of the 11 states that increased enrollment from last year, eight were states that Trump won. Those states include: Iowa, Kansas, Kentucky, Missouri, Nebraska, North Dakota, South Dakota, and Wyoming.
Final enrollment numbers for all 2018 ACA enrollments are still incomplete, as some state exchanges continue their enrollment periods through January 31.
Life Insurance Health Care Reform News Update for December 26, 2017
ACA’s Individual Mandate Overturned as Tax Bill Becomes Law
President Donald Trump signed the GOP-backed tax overhaul bill into law December 22, eliminating the Affordable Care Act’s mandate that all individuals have health insurance or pay a penalty.
As he signed the bill, Trump expressed his disapproval with the mandate. “The individual mandate was very unfair, because you’re basically saying, pay for something in order to not have to get healthcare. So you’re paying—you’re paying not to have healthcare. It was very unfair. Many people thought it should have been overturned at the Supreme Court,” he said.
Proponents of the repeal claimed it would save the government $338 billion, but the action could allow 13 million people to become uninsured.
GOP Continues Strategy to Repeal, Replace ACA
Senate Majority Leader Mitch McConnell (R-KY) said Friday that if Senators Lindsey Graham (R-SC) and Bill Cassidy (R-LA) can draw enough support for legislation to repeal and replace the Affordable Care Act, he’d encourage the Senate to vote on the bill.
Noting that the repealed individual mandate was “one of the pillars” of the ACA, McConnell said he would “love to make more substantial changes to Obamacare than we have.”
McConnell’s comments come a day after he said in an interview that, next year, the Senate will probably focus on other issues besides repealing the law.
Life Insurance Health Care Reform News Update for December 22, 2017
ACA Signups Nearly Equal Last Year’s Numbers
The federal healthcare exchange saw a surprising surge of enrollments in its final week, reaching a total of 8.8 million signups. That nearly matches last year’s total, despite working with an enrollment period that was half as long.
More than one million new enrollees signed up in the week of December 10. This brings the total number of new enrollees to 2.4 million—almost 30 percent of all enrollees.
The numbers are likely to rise in a final count, as some areas affected by hurricanes and other natural disasters have been given enrollment extensions.
State-run exchanges have enrolled 2.5 million Americans so far. Since 10 states and Washington, D.C., have longer enrollment periods than the federal marketplace, this number will increase.
Congress Retains Medical Expense Deduction
This week’s tax overhaul package not only kept the medical expense deduction but temporarily lowered the thresholdfor some people.
Taxpayers can subtract some out-of-pocket medical expenses from their taxes that exceed 7.5 percent of their adjusted gross income for 2017 and 2018. For 2019, the threshold increases to 10 percent.
The deduction will apply to all taxpayers, regardless of age. Currently, the deduction is 10 percent for those under 65 and 7.5 percent for those 65 and older.
Majority Leader Ready to ‘Move On’ From ACA Repeal
Senate Majority Leader Mitch McConnell (R-KY) said he wants to focus on stabilizing the insurance marketplace next year rather than try to repeal and replace the law.
“Well, we obviously were unable to completely repeal and replace with a 52-48 Senate. We’ll have to take a look at what that looks like with a 51-49 Senate. But I think we’ll probably move on to other issues,” McConnell said.
McConnell said he wants to focus on keeping insurance premiums from rising. “We want to steady the insurance markets if we can … and I think we’ll probably be addressing that part of healthcare sometime next year,” he said.
Poll: Healthcare a Top Concern for Americans
A new poll by The Associated Press-NORC Center for Public Affairs Research showed that 48 percent of Americans named healthcare as the most important topic for lawmakers. That is an increase of 17 points over the past two years.
Of the respondents who named healthcare as a priority, 7 in 10 said they didn’t have confidence that government would be able to help. Some of those polled said their skepticism was due to costs not being manageable any more.
Healthcare was the top issue for Democrats and Independents; for Republicans, top issues were immigration, health care, and taxes.
Second Judge Blocks Contraception Executive Order
A second federal judge blocked the Trump administration from enforcing new rules that allow businesses to obtain exemptions on moral or religious grounds for an ACA requirement to provide insurance that covers birth control. The action by California U.S. District Judge Haywood Gilliam, Jr. comes after a similar ruling from a federal judge in Philadelphia last week.
A Trump administration official hinted that the Department of Justice may appeal the ruling. “We disagree with the court’s ruling and are evaluating next steps,” she said.
Healthcare Reform News Update for December 21, 2017
ACA Stabilization Bills Not Included in End-of-Year Funding Package
Senators Susan Collins (R-ME) and Lamar Alexander (R-TN) have scrapped plans to include two bipartisan Affordable Care Act stabilization bills in an end-of-year funding measure.
The senators hope to instead have the bills be part of an omnibus spending bill in January, they said in a joint statement on Wednesday.
“There is every reason to believe that these important provisions can and will be delivered as part of a bipartisan agreement. And Majority Leader McConnell has told us that he will uphold his commitment to schedule and support the legislation,” the statement said.
The two bills would fund:
- cost-sharing reduction (CSR) payments to insurers to help offset expected premium increases as a result of the individual mandate repeal.
- reinsurance funding to offset insurers’ most expensive customers.
The president supports both bills, a White House spokesperson said Wednesday. “We believe we will work with the House to get those passed. We think that we’ll be in a more comfortable place in January to get that passed,” the official said.
Passage of the bills became uncertain last week when House and Senate Republicans clashed on including language to ensure that funds would not be used on plans that covered abortions. Negotiations on a resolution are ongoing.
Medical Device Firms Ask Trump to Delay ACA Tax
Trade firms representing medical device manufacturers have asked President Donald Trump to repeal or delay an ACA tax that’s set to be reinstated at the first of the year.
The device makers had hoped that a repeal of the 2.3 percent tax on medical device sales would be included in the tax overhaul package approved yesterday. There is proposed legislation in the House that would extend the tax delay for an additional five years.
“Unfortunately, while Congress worked with you to advance this major legislative undertaking, they have failed to address a punitive tax that singles out the American medical technology industry, threatening jobs in the U.S. and future innovations for patients, and washing away the benefits of tax reform for our companies,” said Advanced Medical Technology Association CEO Scott Whitaker in a letter.
Healthcare Reform News Update for December 20, 2017
Congress Repeals ACA Individual Mandate
The Republican tax overhaul bill that included the repeal of the Affordable Care Act’s individual mandate was approved by Congress today after a House vote of 224-201. No Democrats backed the bill, and 12 Republicans voted against it.
The ACA provision stipulated that all Americans must have health insurance coverage or pay a penalty. After President Donald Trump signs the bill into law, the repeal will go into effect in 2019.
The Congressional Budget Office (CBO) has estimated that repealing the mandate will reduce government spending by $300 billion over 10 years; however, it will increase premiums by 10 percent and raise the number of uninsured people to 13 million in that same timeframe.
Some GOP lawmakers and Trump believe that the elimination of the mandate is the beginning of dismantling the ACA, a measure they were unable to pass in a repeal-and-replace bill a few months ago.
Senate Majority Whip: Mandate Repeal Makes ACA ‘Unworkable’
Senator John Cornyn (R-TX), the Senate’s Majority Whip, said the repeal of the ACA’s individual mandate could push Democrats into negotiations to replace the law.
“Arguably, doing away with the individual mandate makes the Affordable Care Act unworkable—not that it was particularly great beforehand. Hopefully this will precipitate the bipartisan negotiation on what we need to do as an alternative,” Cornyn said.
House and Senate Clash Over ACA Stabilization Bills
House Republicans are pushing back against a Senate plan to attach the Alexander-Murray stabilization bill that funds cost-sharing reduction (CSR) payments in a year-end spending package.
The clash between House Speaker Paul Ryan (R-WI) and Senate Majority Leader Mitch McConnell (R-KY) could cause a government shutdown if not resolved by the end of the week.
McConnell made a promise to Senator Susan Collins (R-ME) that the Alexander-Murray bill would be included in the spending package. Conservative Republican House members want to add abortion prohibition language into the CSR-funding bill, which Senate Democrats oppose.
It’s unclear how Ryan intends to negotiate a solution. Negotiations are ongoing.
Healthcare Reform News Update for December 18, 2017
Some States Weighing Whether to Implement Individual Mandates
With congressional Republicans prepared to repeal the Affordable Care Act’s individual mandate in their tax reform legislation, some states are weighing state-level measures.
Democratic-leaning states such as California, Connecticut, and Maryland are beginning to create strategies to preserve the law that all Americans have health coverage or face a penalty.
- In California, the chief executive of Covered California recently floated the idea of a state mandate as one of several possibilities to help stabilize the state’s marketplace.
- In Connecticut, Democratic officials considered the option during a recent meeting with four state legislators.
- Maryland Senator Brian Feldman said, “I’m fairly confident there will be a bill if the tax plan results in a repeal of the individual mandate.”
- Officials in Washington and New Jersey are exploring whether their states would implement individual mandates.
- Massachusetts is the only state that has an individual mandate already in place.
Federal Judge Blocks Order Against Contraception Coverage
A U.S. judge in Pennsylvania on Friday ordered the Trump administration not to enforce a new rule that would expand the types of employers that could claim a religious or moral objection to providing birth control for employees.
Judge Wendy Beetlestone temporarily halted the law, which overrode an Affordable Care Act provision that most employers provide contraception at no cost. The judge’s injunction said that the new rule puts employers’ religious beliefs over women’s constitutional rights.
Her ruling is in effect while the case brought by Pennsylvania Attorney General Josh Shapiro moves forward in the courts.
Medical Device Trade Group Pushes Lifting ACA Tax
The CEO of a medical device trade group wrote Congress last week asking that the Affordable Care Act’s device tax be delayed.
The 2.3 percent tax is scheduled to go into effect January 1, unless Congress includes the delay in its end-of-year spending package. The House Ways and Means Committee has proposed a five-year delay.
“Addressing the device tax now will provide medical technology innovators with the certainty necessary to support future job growth and sustainable, cutting-edge R&D that will ultimately lead to the next generation of breakthroughs in patient care and treatment,” wrote Scott Whitaker, CEO of AdvaMed.
Prolife Groups Urge Congress to Amend Stabilization Bills
Anti-abortion groups, including Susan B. Anthony List and National Right to Life Committee (NRLC), are asking lawmakers to revise the language in the two bipartisan healthcare stabilization bills that are expected to be in the end-of-the-year spending deal.
The groups want assurance that the bills specifically stipulate that funds will not be used on health plans that cover abortion. The requests primarily refer to the Alexander-Murray bill, which extends cost-sharing reduction (CSR) payments. The NRLC also would like to add the restrictions to the Collins-Nelson reinsurance bill.
CSRs already include the provision that the funds can’t be used to cover abortions, but the prolife groups don’t believe the language is adequate.
Healthcare Reform News Update for December 15, 2017
ACA Enrollees Who Receive Hold Messages Can Still Get Coverage
Some consumers who call the federal exchange phone line to sign up for coverage by today’s deadline may receive a message that says a representative will return the call.
The last-minute surge of consumers has caused hold times to grow. Today’s enrollees who need to wait for a callback will still be able to receive coverage that goes into effect January 1.
Health Groups Ask States to Override Trump’s ACA Executive Order
Several healthcare groups have written a letter to state insurance commissioners urging them to override an executive order from President Donald Trump that seeks to expand short-term insurance plans.
The letter warns that extending cheaper, short-term plans from three months to one year would lead to “higher premiums for consumers, particularly those with pre-existing conditions.”
Members of the coalition who wrote the letter include the American Cancer Society Cancer Action Network and America’s Health Insurance Plans.
California State Exchange Extends Deadline for ACA Plans
Covered California announced Thursday that healthcare enrollees now have until December 22 to sign up for coverage that starts January 1. Formerly, the deadline was today.
Enrollment in the state exchange continues through January 31. California consumers who sign up after December 22 will receive coverage that starts February 1 at the earliest.
Healthcare Enrollment for Florida Residents Extended
Due to damage caused by Hurricane Irma, most residents of Florida have been given an extended deadline of December 31 to sign up on the federal healthcare exchange.
To receive the extension, Florida residents must call the exchange to request it. Enrollment counselors in the state recommend using navigators, also called enrollment counselors, to help streamline the process.
Healthcare Reform News Update for December 14, 2017
Study: ACA Helped Millions Gain Access
The Affordable Care Act has had a direct impact in increasing access to medical care, particularly in states that expanded Medicaid eligibility, according to a new report from the nonprofit Commonwealth Fund.
Some of the findings in the report include:
- The uninsured rate for adults declined in all states between 2013 and 2016, with 47 states seeing at least a 5 percent drop.
- The largest reduction of people who delayed care due to cost concerns was most pronounced in states that expanded Medicaid and launched significant enrollment efforts.
- In Oregon, the percentage of people who delayed care due to costs was cut in half from 35 percent to 17 percent.
- The percentage of those at risk of being in poor health who had not seen a doctor in at least two years was reduced in 37 states.
- The largest coverage gains were seen in California, with uninsured working-age adults dropping from 24 percent to 10 percent.
- Children’s uninsured rates declined by at least two percentage points in 33 states.
GOP Compromise Tax Bill Retains Repeal of ACA Individual Mandate
A compromise tax bill from Senate and House negotiators would repeal the Affordable Care Act’s mandate that all Americans have health coverage or pay a penalty.
Also, the bill would lower the amount consumers need to spend on health-related costs before deducting those costs. Under the bill, the amount would be 7.5 percent of the consumer’s income, instead of the current 10 percent.
The new bill now moves to both houses of Congress for approval.
More Than 1 Million Sign Up in Week 6 of ACA Enrollment
During the sixth week of the Open Enrollment Period, the federal healthcare exchange signed up more than 1 million people, including 389,000 new enrollees. That surpasses the 823,000 signups from the previous week.
Overall, more than 4.7 million people have signed up for 2018 plans on the federal healthcare exchange.
Maryland Extends ACA Enrollment to December 22
Maryland’s state-run healthcare marketplace has extended its enrollment deadline from December 15 to December 22.
“While enrollments have been very strong so far this year, we want to ensure that everyone in Maryland in need of 2018 health coverage has additional time to shop and enroll,” Howard Haft, interim executive director for the Maryland Health Benefit Exchange, said in a statement.
Alabama Senate Election Result May Curtail ACA Repeal Efforts
The election of Alabama Democrat Doug Jones to the Senate this week might have hindered the GOP’s plans to repeal the Affordable Care Act in 2018.
Jones reduced the Republican majority in the Senate to a slim 51-49. With the failure to pass a repeal effort over the summer due to the opposing votes of three GOP senators, the chances of future success have been greatly reduced.
Even with the smaller margin, the Trump administration said on Wednesday that it would like Congress to continue with ACA repeal efforts next year.
Healthcare Reform News Update for December 13, 2017
Senate Democrats Ask for ACA Enrollment Deadline Extension
Senators Patty Murray (D-WA) and Ron Wyden (D-OR) have asked the Trump administration to extend the healthcare enrollment deadline to January 31.
The senators argue that the administration’s decision to cut the Open Enrollment Period in half compared to previous years is not enough time for people to enroll.
“The Administration’s decision to depart from years of agency policy by ending Open Enrollment on December 15th is compounded by the many other efforts by this Administration to destabilize the insurance market, making it likely that many consumers miss this deadline and forgo insurance next year — all despite clear indications that consumers are highly interested in seeking coverage for 2018,” the senators wrote.
Neither the Trump administration or the Centers for Medicare and Medicaid Services (CMS) gave any indication whether an extension would be granted.
“The deadline for people to shop and pick a plan for the upcoming year is December 15. We continue to encourage people to make plan selections by that deadline so that their coverage can begin on January 1,” a CMS spokesman said.
Actuaries: Mandate Repeal Would Damage the Marketplace
The American Academy of Actuaries sent a letter to Congress saying that a repeal of the ACA’s individual mandate will raise premiums and cause people with individual insurance to lose coverage.
The tax overhaul bill currently being reconciled by House and Senate leaders includes the repeal of the provision that levies a fine to individuals who do not have health coverage.
The group says the two proposed stabilization measures would not be able to offset the damage that a repeal would trigger in the health insurance market.
“Insurers would likely reconsider their future participation in the market. This could lead to severe market disruption and loss of coverage among individual market enrollees,” according to the letter.
House Committee Unveils Bills to Delay ACA Taxes
Republican members of the House Ways and Means Committee released several bills on Tuesday that delay or halt some Affordable Care Act taxes and lift the employer mandate. The proposed rollbacks are separate from the tax overhaul bill currently being reconciled.
The bills’ recommendations include:
- Delaying the medical device tax for five years.
- Halting the 2018 health insurance tax (HIT) to insurers that provide premium rebates.
- Halting HIT for all insurers in 2019.
- Lifting the employer mandate retroactively for the past three years and for 2018.
- Delaying the “Cadillac” tax for one year.
- Temporarily lifting the ban on paying for over-the-counter drugs from health savings account funds.
Credit Report Freeze Can Cause a Holdup in ACA Enrollment Process
Consumers who put security freezes on their credit reports this year may experience a delay in the enrollment processon the federal healthcare exchange.
During enrollment on the website, users are asked to confirm their identities via questions that are tied to their credit histories. If there is a freeze on their credit data, applicants may have to call a marketplace help desk or call center before being able to continue with enrollment.
Instead of suspending the freeze on their credit reports, consumers can upload or mail in documents to the exchange.
In the event of an identity glitch, consumers should be able to complete the enrollment process as long as they start their applications before the December 15 enrollment deadline.
Lawmakers Ask to End ACA Program Operating in Only One State
Representative Mark Meadows (R-NC) and Senator Ron Johnson (R-WI) have called for the elimination of the Affordable Care Act’s Multi-State Plan program.
The program requires that the Office of Personnel Management (OPM) contract with two national health plans to compete with existing state plans. Only Arkansas is scheduled to participate in 2018.
Johnson said in a statement: “The program has failed to meet statutory requirements and is diverting necessary resources from what should be the OPM’s priorities, such as retirement and security backlogs. Congress needs to let the OPM focus on its job, eliminate this failed program and work to ensure healthcare is more affordable for all Americans.”
Healthcare Reform News Update for December 12, 2017
ACA Funding for Community Health Centers Extended by HRSA
Several community health centers that received funding through a provision of the Affordable Care Act have had their funding extended by the Health Resources and Services Administration (HRSA).
Funding for the centers expired September 30 and has yet to be renewed by Congress. To help cover the shortfall, the HRSA will provide funding from fiscal 2018 discretionary appropriations and remaining mandatory funds. This will continue on a month-to-month basis until the program is reauthorized or the funds run out.
HRSA sent funds for January and February to the 25 percent of community health centers that have grant periods beginning January 1. The agency plans to soon send out one month of funding to the 17 percent of community health centers that have grant periods beginning February 1.
Healthcare Enrollment Sees Small Glitch in Illinois, Final Push From Obama
Some consumers in Illinois received an erroneous message Monday when they tried to sign up on the healthcare.gov website in the final week of Open Enrollment.
The website incorrectly generated a message that said health plans were not available in the area. The computer glitch occurred after enrollees completed their application for government subsidies.
Despite the error, the federal exchange website has operated efficiently for users throughout the Open Enrollment Period.
To help draw more people to the federal exchange, former President Barack Obama joined healthcare navigators and volunteers on a conference call to help encourage their efforts.
“So far, we’ve gotten more people covered this year than in past years, which is incredible given that there’s been so little advertising or outreach from some official quarters to remind people when and how they should get covered,” Obama said.
Healthcare Reform News Update for December 11, 2017
ACA Enrollment Enters Final Week
The last day for consumers to sign up for healthcare coverage on the federal exchange ends Friday. Those seeking coverage must be enrolled by midnight (Pacific time) December 15.
Due to disruption from recent hurricanes in Texas and Florida, people in affected areas can get a deadline extension to December 31.
Typically, the final week is one of the busiest, but the Trump administration has said little about any contingency plans.
The Centers for Medicare and Medicaid Services (CMS) has not announced if it will continue an Obama administration policy of creating a grace period for people who started an application prior to the deadline but didn’t complete it in time. In prior years, this extension enabled hundreds of thousands to receive coverage.
Heavy traffic could lead to delays on the healthcare.gov website, but so far there have been no reported problems.
Government Shutdown Could Hinge on Extending CSR Payments
The Alexander-Murray stabilization bill, which extends cost-sharing reduction (CSR) payments to insurers for two years, has become an issue in avoiding a government shutdown.
Congress is negotiating a spending package to keep the government funded past December 22. Senate Majority Leader Mitch McConnell (R-KY) wants to include Alexander-Murray in the spending bill as part of a promise made to Senator Susan Collins (R-ME) for her vote on the tax overhaul bill.
But Republicans in the House aren’t interested in including the Alexander-Murray bill in the measure. “None of us voted in favor of Obamacare, so supporting it, sustaining it’s not exactly a high objective,” said Representative Tom Cole (R-OK.).
If the Senate includes Alexander-Murray in the spending package, it could cause a legislative stalemate that would trigger a shutdown.
ACA’s ‘Cadillac Tax’ Slowing Bipartisan Healthcare Negotiations
The ACA’s so-called Cadillac tax has become an obstacle in Congress’ attempt to delay certain healthcare taxes before the end of the year.
The Cadillac tax is a 40 percent excise tax on employer plans exceeding $10,200 in premiums per year for individuals and $27,500 for families. It’s currently scheduled to begin in 2020.
Democrats want to include delaying the Cadillac tax into the year-end spending package. Republicans prefer the delay of only the healthcare insurance tax and medical device tax, which go into effect in 2018. Negotiations are ongoing.
Healthcare Reform News Update for December 8, 2017
House Lawmakers Consider the Fate of ACA Taxes
Republican tax writers in the House are in discussions about delaying or suspending the Affordable Care Act’s health insurance tax (HIT), medical device tax, and the “Cadillac” tax as part of a year-end government funding bill.
Lawmakers are considering suspending HIT for all markets in 2019 but delaying it in limited markets next year. However, small businesses and private Medicare plans would still be subject to HIT in 2018.
HIT charges a 4-to-6 percent tax on every insurance plan sold. It can raise premium rates by up to 2.6 percent.
House lawmakers would also like to delay the ACA’s medical tax device tax for two years and the ACA’s Cadillac tax, which is a 40 percent excise tax on employer-funded health insurance plans that cost more than $10,200 for individuals and $27,500 for families.
Healthcare Reform News Update for December 7, 2017
Bipartisan ACA Bills Reduce Health Plan Premiums
If two bipartisan ACA stabilization bills are enacted, health insurance premiums for 2019 would be reduced by 18 percent, according to an analysis by Avalere Health.
The Alexander-Murray bill, which would fund cost-sharing reduction (CSR) payments to insurers for two years and increase flexibility for states to change ACA rules, would reduce premiums by 14 percent. The Collins-Nelson bill, which would provide funding for reinsurance, would reduce premiums by 4 percent.
If the ACA individual mandate is repealed in the tax overhaul bill, these reductions would help offset an expected 10 percent premium increase.
The bills may be included in an end-of-year government spending package, but support for the measures is not clear.
On Wednesday, House Freedom Caucus Chairman Mark Meadows (R-NC) said he’d be open to supporting the Alexander-Murray bill if Senate Democrats would agree to back increased defense spending.
ACA Plans Showing Profitability
Many insurers will see a profit on ACA plans for the first time, according to a Politico analysis of 31 regional Blue Cross Blue Shield plans.
On average, insurance companies spent 78 percent of their premium revenue on medical claims through September 2017, which is seven points over the break-even threshold.
The turnaround comes after three years of losses. In 2015 and 2016, carriers lost more than $12 billion, which resulted in many leaving the federal exchange marketplace.
ACA Enrollments Increase in Week 5
Healthcare sign-ups on the federal exchange during the fifth week of Open Enrollment outpaced the previous week, but overall numbers may be down from last year.
For the week of November 26, there were 823,180 sign-ups compared to 504,181 for the week of November 19. There were 271,207 new enrollees compared to 152,243 in the prior week.
Overall enrollment during this year’s Open Enrollment Period totals about 3.6 million people. That is about half the number of sign-ups during a comparable point from last year, according to Avalere Health.
With only one week left to enroll, experts expect this year’s final numbers to decrease 20 percent from last year’s 9.2 million sign-ups.
California State Exchange Enrollment Increases 28
Covered California has currently signed up more than 102,000 new enrollees, which is a 28 percent increase over last year. In addition, almost 400,000 existing California consumers have switched coverage for 2018. The state’s Open Enrollment Period ends January 31.
Consumers Using Supplemental Coverage as Health Insurance
With rising premium costs making plans unaffordable to some consumers, many brokers are selling a combination of supplemental packages as an alternative.
Even though the mix-and-match supplemental approach does not give full coverage and is not exempt from the ACA’s individual mandate penalty, some consumers find it an affordable option.
Brokers are typically combining fixed-benefit indemnity, critical illness, and drug discount cards to help families have a minimum amount of health coverage for around $900 to $1,000 a month.
Though consumers may find the option attractive, in many cases purchasing a marketplace plan would have a lower premium, fewer out-of-pocket expenses, and provide full coverage.
Healthcare Reform News Update for December 6, 2017
Repeal of Individual Mandate Sees Strong Push in House
As the tax overhaul bills from the Senate and House are being reconciled, the House Republican Study Committee(RSC) and House Ways and Means Committee Chairman Kevin Brady (R-TX) are pushing to assure inclusion of the repeal of the Affordable Care Act’s individual mandate.
The Senate version of the bill includes the repeal, the House version does not. A committee will reconcile the differences in the two bills and merge them into a single bill.
On Tuesday, the RSC sent a letter to the House Ways and Means Committee and Senate Finance Committee urging for the repeal. “Including language to repeal this harmful policy will return personal decisions about health care choices to patients, fulfilling a key promise we have made to the American people,” the group wrote.
Also on Tuesday, Brady said the repeal is popular in the House. “We’ll be asking our members where do they want us to be on that position. I suspect there will be strong support,” he said.
Support of Stabilization Bills Not Guaranteed in House Vote
House Speaker Paul Ryan (R-WI) said on Monday that he has not entered into an agreement to support two bipartisan bills that could help stabilize the Affordable Care Act (ACA).
Last week, Senate Majority Leader Mitch McConnell (R-KY) promised Senator Susan Collins (R-ME) that the two measures would be included in an end-of-month government funding bill. Support in the House is now unclear.
One stabilization bill extends cost-sharing reduction subsidy payments to insurers for two years and gives states flexibility to change ACA rules. The other provides two years of funding for reinsurance, which “helps pay for the costs of sick ObamaCare enrollees with the intent of bringing down premiums.”
Adding to doubts about passage, the House Freedom Caucus expressed its opposition to the bills last week, and Representative Tom Cole (R-OK) said Monday that there were not enough votes in the House to pass the measures.
Healthcare Reform News Update for December 5, 2017
Funding for Reinsurance Bill Grows by $5.5 Billion
Senator Susan Collins (R-ME) announced that she has increased the amount of funding for the reinsurance bill she authored with Bill Nelson (D-FL) from $4.5 billion to $10 billion over two years.
The bill sets aside funds to reimburse insurance companies for customers with the biggest medical problems.
“We know from experiences in the states of Maine and Alaska that high-risk pools can help to lower premiums substantially — by an average of 20 percent,” Collins said in a statement.
Last week, Senate Majority Leader Mitch McConnell (R-KY) promised Collins that he would add the reinsurance measure to an end-of-year spending bill in exchange for her vote for the tax overhaul bill.
Collins raised the funding amount in response the tax bill, which repeals the Affordable Care Act’s individual mandate. According to the Congressional Budget Office, the repeal would cause 4 million people not to have insurance in 2019 and would raise premiums 10 percent.
Poll: ACA Individual Mandate Supported by Majority of Well-Informed Voters
A recent poll by the Kaiser Family Foundation shows that even though the Affordable Care Act’s individual mandate is the least popular part of the law, a majority of voters support it once they understand how the provision works.
Previous polling showed that 42 percent of voters supported the mandate that requires all Americans to have health coverage. But opinions rose when told of the impact from a repeal.
- When told that people with insurance from employers, Medicare, or Medicaid already have coverage required by the mandate, support rose to 62 percent.
- When told that repeal would increase premiums by 10 percent, support rose to 60 percent.
- When told that 13 million Americans would lose coverage, support rose to 59 percent.
- When told that low-income people who can’t afford coverage do not have to pay the penalty, support rose to 59 percent.
Healthcare Reform News Update for December 4, 2017
Senate Passes Elimination of Individual Mandate
Republicans in the Senate narrowly passed a tax overhaul bill early Saturday that includes the repeal of the Affordable Care Act’s requirement that all Americans have health coverage or pay a penalty.
The Congressional Budget Office (CBO) estimates that the repeal of the individual mandate would cause insurance premiums to rise. It would leave about 13 million people without health insurance coverage.
The bill will go through a reconcile process with the House, which is expected to be completed sometime next week.
Healthcare Reform News Update for December 1, 2017
Health Plans for 2018 More Restrictive, Have Higher Deductibles
Seventy-three percent of 2018 health plans sold on the federal exchange have more restrictive networks and an average deductible of almost $4,000, according to a new analysis from Avalere.
The percentage of health plans on the marketplace that use restrictive Health Maintenance Organizations (HMOs) or Exclusive Provider Organizations (EPOs) has risen significantly over the past three years. In 2015, 54 percent of plans were HMOs or EPOs; in 2017, it was 68 percent.
HMOs and EPOs limit coverage to exclusive in-network providers and specialists, whereas Preferred Provider Organizations (PPO) and Point of Service (POS) plans offer broader coverage.
Deductibles for silver plans have also risen. In 2015, the average deductible was $3,703; for 2018, it’s $3,937. Deductibles for bronze plans have dropped over the past three years, mostly as a consequence of cost-sharing reduction (CSR) payments for lower-income consumers. Platinum plan deductibles have also lowered.
“For the most popular exchange plans, we see an increase in deductibles for 2018. This trend helps reduce premium costs but may increase what consumers must pay out-of-pocket for their care,” said Avalere Senior Vice President Elizabeth Carpenter.
House Conservatives Against Marketplace Stabilization Bills
Some conservative Republican members of the House said they probably would not support a short-term spending billif it contains provisions to stabilize the Affordable Care Act marketplace.
In a deal reached this week between Senate Majority Leader Mitch McConnell (R-KY) and Senator Susan Collins (R-ME), bipartisan bills that extend cost-sharing reduction (CSR) payments for insurers and provide funds for state reinsurance programs would be included in the spending bill in exchange for Collins’ vote for the tax overhaul bill.
House conservatives believe the stabilization efforts are bailouts to insurance companies and the measure wouldn’t pass in a House vote. “For me, I think probably largely for many of our members, that doesn’t make sense. I wouldn’t be supportive of that,” said Representative Jim Jordan (R-OH).
Enrollment for CT State Exchange Equals Last Year’s
Connecticut’s state-run health exchange program, Access Health CT, estimates that it will have about the same number of enrollees as last year.
CEO Jim Wadleigh estimates that final enrollment numbers will be between 105,000 and 110,000. Currently, about 101,000 people have signed up for 2018 coverage.
Open enrollment for Access Health CT ends December 22. Thank for visiting Life Insurance Health Care Reform News Update for December, 2017, You can have more information about Life Insurance Health Care Reform News Update for December at Small Insurance Companies. Visit for more about Life Insurance Health Care Reform News Update.
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Insurance Policy Health Care Reform News Update for January, 2018. Healthcare Reform News Update for January 30, 2018. The Affordable Care Act advocacy group Save My Care is releasing television ads this week that are critical of Republican efforts to repeal the law. Here is all about Insurance Policy Health Care Reform News Update for January, 2018
Pro-ACA Group Launches Ads Targeting GOP Lawmakers
The ads claim that the failed bills GOP lawmakers proposed would have increased health insurance premiums and left millions of people without coverage. They will run in West Virginia, where Congressional Republicans are holding a retreat, in addition to Washington D.C., Maine, and Alaska.
Leslie Dach, Save My Care’s campaign chairman, hopes the ads will remind lawmakers to act. “It’s time to listen to what Americans demand, move on from repeal and sabotage, and work on bipartisan solutions that keep and improve on the Affordable Care Act,” he said in a press release.
Azar Sworn in as HHS Secretary
Alex Azar was sworn in Monday to lead the Department of Health and Human Services.
“As our new secretary, Alex will continue to implement the administrative and regulatory changes needed to ensure that our citizens get the affordable high-quality care that they deserve,” President Donald Trump said at a White House ceremony honoring Azar.
Azar was confirmed last week in a 55-43 Senate vote.
Open Enrollment Period Ends Tomorrow for 3 Exchanges
California, New York, and Washington D.C. will end their Open Enrollment Periods at midnight January 31.
California’s state exchange has signed up about 1.2 million residents renewing their policies and 342,000 new enrollees. New York will enroll 2.1 million people. And the Washington D.C. exchange says its poised to match last year’s numbers.
Healthcare Reform News Update for January 29, 2018
Trump Administration Sued Over Cuts to ACA Plans
The attorneys general for New York and Minnesota have sued the Trump administration for cutting off more than $1 billion in annual federal funding for state Affordable Care Act plans that cover almost 1 million low-income residents.
The Department of Health and Human Services (HHS) announced December 21 that it would not pay the $266 million to New York or $32 million to Minnesota for their Basic Health Program plans in the first quarter. The cuts represent more than 25 percent of the overall funding to the programs and $1.2 billion over one year.
The states are the only two that participate in the Basic Health Program, which provides low out-of-pocket plans with premiums of $0 to $80 per month. New York has 700,000 enrollees.
“The abrupt decision to cut these vital funds is a cruel and reckless assault on New York’s families,” said New York Attorney General Eric Schneiderman.
Healthcare Reform News Update for January 26, 2018
Two Reinsurance Bills Vie for Congressional Support
Two rival reinsurance bills — one with only GOP support in the House, the other with bipartisan support in the Senate — are complicating ACA stabilization efforts.
The House version, sponsored by Representatives Ryan Costello (R-PA) and Collin Peterson (D-MN), will cost $30 billion over three years at the discretion of the secretary of Health and Human Services. It consolidates a federal reinsurance program and includes retroactive funding of cost-sharing reduction (CSR) payments for 2017 and funding for 2019.
The Senate bipartisan version, sponsored by Senators Susan Collins (R-ME) and Bill Nelson (D-FL), uses 1332 wavers to give states a $2.25 billion pool every two years to fund their own reinsurance programs.
Costello says his approach has the advantage of “speed, efficiency, and certainty,” because obtaining waivers can be uncertain. Collins says the waivers will ultimately benefit states more.
Costello and Collins have discussed the proposals, and talks are ongoing. It’s unclear which proposal has more support from lawmakers.
Warren Calls for ACA Supporters to ‘Go on Offense’
Senator Elizabeth Warren (D-MA) in a Thursday speech called for supporters of the Affordable Care Act to be more aggressive over healthcare issues in response to Republican efforts to repeal the law.
“We need to do more than play defense,” she said at a conference held by Families USA, a liberal healthcare advocacy group. “I believe it is time for us to go on offense.”
Warren spoke about building on the ACA’s fundamentals, including creating a public health insurance option and expanding Medicare eligibility. She also criticized insurance carriers and said the government needs to “hold America’s insurance companies accountable.”
Healthcare Not Priority for Battleground Voters
Even though healthcare is a top issue for voters nationwide, it lags behind the economy, North Korea, and immigration as a priority for voters in states with competitive political races, according to a recent poll from the Kaiser Family Foundation.
Nationwide, healthcare is the top issue for 29 percent of voters, followed by the economy and immigration. For the 13 states with congressional or gubernatorial races, 21 percent of voters choose healthcare as the priority.
The poll also found that 50 percent of voters were not aware that the ACA’s individual mandate had been repealed. The same percentage said they supported the ACA.
Healthcare Reform News Update for January 25, 2018
Azar Confirmed as Health & Human Services Secretary
Former Eli Lilly executive Alex Azar was confirmed Wednesday as the new secretary for the Department of Health and Human Services (HHS) in a 55-43 Senate vote.
Azar previously served the department as general counsel and then as deputy secretary under former President George W. Bush. “He understands the process, and he knows the levers and how you make it work and where the potential roadblocks are,” said former HHS Secretary Mike Leavitt.
Azar has four main objectives for the department:
- help contain prescription drug prices
- make health insurance more affordable and accessible
- continue working to make Medicare payments based on quality—not quantity
- tackle the opioid addiction epidemic
Idaho to Allow Sale of Non-ACA-Compliant Health Insurance
Idaho revealed a plan Wednesday that would allow the sale of health insurance that does not meet the consumer protections established under the Affordable Care Act. It’s the first state to do so without prior federal approval.
The director of the Idaho Department of Insurance says the plan is necessary to make cheaper insurance available to more people. But the legality of the measure is being questioned by healthcare experts.
Under Idaho’s guidelines, the new, cheaper plans could:
- Deny coverage for pre-existing conditions for up to 12 months
- Exclude pediatric dental coverage and vision care
- Charge people more based on where they live, health history, and age
- Charge consumers separate out-of-pocket maximums for different services
Insurers in the state would continue to have ACA-compliant marketplace plans available.
Trump Administration Seeks to Expand Individual Mandate Exemptions
The Affordable Care Act’s individual mandate was repealed last month, but it doesn’t go into effect until 2019. In response, the Trump administration is exploring ways for more consumers to qualify for exemptions on 2018 tax returns.
The Centers for Medicare and Medicaid Services (CMS) is creating guidance to expand hardship exemptions but has yet to finalize or publish the details.
Ted Cruz Continues Fight to Repeal ACA
Senator Ted Cruz (R-TX) on Wednesday said he is still working to repeal the Affordable Care Act this year.
Cruz said he has been “speaking with a wide number of senators” about repeal efforts and is trying to get enough support for an effort to pass.
“I don’t think leadership is interested in going down this road again until we can get 50 votes, and so we need to do the hard work of bringing the rest of the conference together. I think we’re still quite close,” he said.
Healthcare Reform News Update for January 24, 2018
ACA Tax Delays Will Cost $31.3 Billion
The postponement of three Affordable Care Act taxes in the stopgap spending bill, which ended the three-day government shutdown, will reduce federal revenue by $31.3 billion over 10 years, according to the Joint Committee on Taxation.
- Delaying the medical device tax will cost $3.8 billion.
- Postponing the Cadillac tax will cost $14.8 billion.
- Deferring the health insurance tax will cost $12.7 billion.
HHS Nominee Advanced by Senate
Alex Azar, President Donald Trump’s nominee to lead the Department of Health and Human Services (HHS), won Senate approval Tuesday in a 54-43 vote. Final confirmation is expected today. Azar is a former Eli Lilly executive.
Healthcare Reform News Update for January 23, 2018
Stopgap Bill Includes 3 ACA Tax Delay Extensions
The bill that reopened the federal government today includes three measures that affect the Affordable Care Act.
The “Extension of Continuing Appropriations Act, 2018″ (ECAA) bill will delay:
- the start date of the ACA’s Cadillac tax through 2022.
- the health insurance tax through 2019.
- the medical device tax through 2019.
The Congressional Budget Office (CBO) has estimated that the three taxes represent $12.7 billion in federal revenue.
California Marketplace Enrollment Up 7 Percent
Covered California, the state’s ACA marketplace, has signed up about 342,000 healthcare enrollees since Open Enrollment began November 1. That’s a 7 percent increase compared to the same time last year.
“The demand — as well as the need — for health insurance is as strong today as it was when we first began offering coverage five years ago,” said Peter V. Lee, Covered California’s executive director, in a statement.
Enrollment will continue for the state through January 31.
ACA Stabilization Bills Still Alive in Congress
Senator Susan Collins (R-ME) remains optimistic about bipartisan legislation created to help lower premiums and stabilize the Affordable Care Act marketplace.
Collins expects the measures to be included in an omnibus bill due for a vote within the next few weeks.
“Our negotiations with the House are going very, very well. The deadline slipped but the policy is what is important,” she said.
Healthcare Reform News Update for January 18, 2018
Azar Moves to Full Confirmation for HHS Secretary
The Senate Finance Committee voted 15-12 to advance Alex Azar’s nomination to head the Department of Health and Human Services (HHS). All committee Republicans voted for Azar; Tom Carper (DE) was the only Democrat voting in support of the nominee.
Azar was an HHS official during the George W. Bush administration and is a former executive for pharmaceutical company Eli Lilly. Azar has said he intends to cut back the Affordable Care Act through new regulations and help stem the rise of drug prices.
A confirmation date has not been scheduled, but lawmakers expect a vote by the end of the month.
GOP Plans for ACA Taxes Unveiled
Republican lawmakers introduced measures Tuesday to suspend or delay some ACA taxes as part of the efforts to avoid a government shutdown.
The proposals include delaying the health insurance tax (HIT) for one year and a two-year delay on the medical device tax and the Cadillac tax on high-cost insurance plans. It also included a six-year reauthorization of the Children’s Health Insurance Program (CHIP).
Opponents have asked to suspend the HIT tax retroactively for 2018, saying it would lower premium costs. “While we welcome the suspension of the health insurance tax (HIT) in 2019, small businesses need help now. It’s critical that policymakers provide urgent relief and much-needed certainty by suspending the tax immediately for 2018 and 2019,” said Elena Tompkins, executive director of Stop the HIT, a coalition representing small-business owners.
Healthcare Reform News Update for January 16, 2018
Uninsured Americans Grew to 12.2 Percent Last Year
After years of decline due to the Affordable Care Act, the number of Americans who do not have health insurance rose to 12.2 percent in 2017, compared to 10.9 percent at the end of 2016, according to a new national survey from Gallup.
This is the first time in nine years where there was not a year-over-year decrease in the number of uninsured.
About 3.2 million Americans lost coverage in 2017. Especially affected were young adults, blacks, Latinos, and households making less than $36,000 a year. The majority of the newly uninsured had previously purchased individual insurance, rather than receiving group coverage from an employer, Medicare, or Medicaid.
It’s expected that the Trump administration’s efforts to weaken portions of the Affordable Care Act, such as repealing the individual mandate, could continue to impact the number of uninsured. “It seems likely that the uninsured rate will rise further in the years ahead,” according to the report.
Republican Leaders Hope to Eliminate ACA Employer Mandate
House Republicans Devin Nunes (CA) and Mike Kelly (PA) have introduced a bill that would suspend the Affordable Care Act’s mandate that employers offer healthcare to employees, canceling penalties that would be imposed for any year from 2015 to 2018.
“The employer mandate is a job-killer, a wage-killer, and a business-killer,” said Representative Kelly.
Currently, if an employer does not offer minimum essential coverage to full-time employees, the business is subject to a penalty of $2,260 per year for each employee in excess of 30. It’s estimated that businesses will pay $12 billion in penalties in 2018.
Democrats oppose repealing the employer mandate saying that the measure has not harmed businesses since the law’s implementation in 2010.
Healthcare Reform News Update for January 12, 2018
ACA Exchange Carrier Faces Lawsuit
A class-action lawsuit claiming inadequate access to doctors was filed Thursday in a federal court against Centene, one of the largest insurance carriers on the federal healthcare exchange.
Centene sells Ambetter plans in more than 15 states and insures 1.4 million people. In some areas of the country, the company is the only provider available on the exchange.
The lawsuit alleges that Centene falsified its network of doctors and that patients have trouble finding providers who accept the plans. “Centene misrepresents the number, location and existence of purported providers by listing physicians, medical groups and other providers — some of whom have specifically asked to be removed — as participants in their networks and by listing nurses and other non-physicians as primary care providers.”
The company said it was not aware of the lawsuit until Thursday. According to a spokesperson, “We believe our networks are adequate. We work in partnership with our states to ensure our networks are adequate and our members have access to high quality healthcare.”
House Chairman Hopes ACA Cadillac Tax Will Be Eliminated
House Ways and Means Committee Chairman Kevin Brady (R-TX) said there is a chance that a repeal of the Affordable Care Act’s “Cadillac tax” could be included as part of the government funding measure under negotiation in Congress. Currently, the tax will not go into effect until 2020.
The Cadillac tax imposes a 40 percent excise tax on employer-funded health insurance plans that cost more than $10,200 for individuals and $27,500 for families.
Healthcare Reform News Update for January 11, 2018
Internal Document Discloses Trump Administration’s ACA Strategy
An internal Trump administration document recently obtained by Senator Bob Casey (D-PA) outlines 10 actions that Health and Human Services (HHS) planned to implement via executive authority to make changes to the Affordable Care Act.
The March 23, 2017, document says the measures would “improve the individual and small group markets most harmed by Obamacare.”
Casey called the list “sabotage” of the ACA. “The primary problem here is government officials, government agencies, were taking steps that would lead to fewer people having coverage and erecting barriers to people having coverage,” Casey said.
The document was used during a meeting with House GOP lawmakers in March, including House Speaker Paul Ryan (R-WI).
Most of the proposals have since been implemented. The suggested actions include:
- Require 100 percent verification for Special Enrollment Periods.
- Tighten rules on payment grace periods.
- Shorten the Open Enrollment Period to six weeks.
- Give oversight authority for network adequacy back to the states.
- Give states the authority to select essential health benefit benchmarks.
- Set up expedited review and approval of Section 1332 state innovation waivers. (These apply to the individual and small group markets.)
- Prevent providers from steering patients to ACA plans instead of Medicaid and Medicare.
- Allow alternative enrollment pathways.
- Give states the authority to review plan designs and formularies.
- Promote states to create “skinny” state exchanges, which cost less and rely on innovation from the private sector.
Healthcare Reform News Update for January 10, 2018
Maryland Lawmakers Propose Replacement for ACA Individual Mandate
Two Maryland Democratic state lawmakers proposed a program Tuesday that will impose a penalty on Maryland residents who don’t buy health insurance. The money would be used as a down payment for a plan on the state exchange.
The measure is the nation’s first response to the recent repeal of the Affordable Care Act’s individual mandate, which imposed a penalty on Americans who did not have health insurance.
Stat Senator Brian J. Feldman and Delegate Joseline A. Peña-Melnyk introduced the proposal, which would start in 2020.
The law would charge uninsured residents a penalty that could be used to help pay for a plan on the state exchange. If the cost of the penalty is equal to or more than the cost of an available plan, the resident can receive coverage at no additional charge. Residents would also have the option of simply paying the penalty.
Supporters of the measure are optimistic that Governor Larry Hogan (R) will support it, but he has not commented.
Alexander: President Supports Stabilization Bill
Senator Lamar Alexander (R-TN) told reporters Tuesday that President Donald Trump voiced his approval of the bipartisan Alexander-Murray bill, which was created to help stabilize the ACA marketplace.
The measure extends cost-sharing reduction (CSR) payments to insurers for two years. Proponents hope to include the bill as part of an upcoming funding package.
Repeal of ACA Takes a Backseat for GOP Leaders
After a meeting with the president last weekend, leading Republicans say that repealing and replacing the Affordable Care Act is no longer a primary issue.
“There’s some work we need to do on the healthcare front, but I would hope we’re in a position to do things on a bipartisan basis,” said Majority Whip Sen. John Cornyn (R-TX). He said they did not discuss ACA repeal during the meeting.
Some lawmakers, including Senator Lindsey Graham (R-SC), want to keep up the effort, but Trump and other GOP leaders have prioritized other issues, such as job training.
Healthcare Reform News Update for January 9, 2018
HHS Nominee Gets Pushback From Pro-ACA Group
As Health and Human Services (HHS) secretary nominee Alex Azar begins his confirmation hearing today, pro-Affordable Care Act group Protect Our Care has released a digital ad urging senators to oppose his nomination.
“President Trump and Republicans in Congress are in search of a new leader for their war effort to captain their repeal and sabotage campaign, and in a former pharmaceutical executive they have found their man,” the ad states.
Despite opposition from the group and several Democratic lawmakers, Azar’s appointment to the position is expected to be confirmed.
HHS Sued by Insurer for Failure to Reimburse CSR Payments
Nonprofit insurer Maine Community Health Options (MCHO) has filed suit against the Trump administration for its failure to pay cost-sharing reduction (CSR) reimbursements of $5.6 million last year.
In October, President Donald Trump signed an executive order that stopped the payments.
In its lawsuit, MCHO says that the failure to provide the CSR payments violated an Affordable Care Act contract between HHS and insurers.
Healthcare Reform News Update for January 8, 2018
Idaho Opens the Door to Skimpier Health Plans
Governor Butch Otter (R) of Idaho signed an executive order Friday allowing state health insurers to sell policies that do not meet Affordable Care Act requirements.
In an attempt to provide lower-cost options for consumers, the new plans would not cover all of the ACA’s 10 essential benefits, which include prescription drugs, emergency care, maternity care, and mental health services. The plans would also not be eligible for government subsidies.
Some officials have questioned the legality of the plans, but Otter said recent actions in Washington helped make way for his order.
“Congress and President Trump have eliminated the individual mandate requiring all Americans to buy Obamacare plans or face financial penalties. That means we will no longer be penalized for buying coverage that doesn’t meet all the Obamacare rules,” Otter said in a statement.
The state will still be required to sell ACA-compliant plans.
Healthcare Reform News Update for January 5, 2018
Labor Department Issues Association Health Plan Proposal
The Trump administration on Thursday proposed new rules allowing small employers and self-employed individuals to form associations to purchase health insurance.
The Department of Labor issued the proposal, which would expand the definition of eligible members and provide health coverage that’s exempt from many of the Affordable Care Act’s essential benefits, including prescription drugs, hospitalization, maternity care, and emergency care.
The proposal also allows associations to form specifically to provide healthcare for its members. “A plan could serve employers in a state, city, county, or a multi-state metro area, or it could serve all the businesses in a particular industry nationwide,” according to the release.
Poponents of the new rules say that it will provide lower-cost health insurance alternatives and give businesses more choices. Critics fear they could increase consumers’ out-of-pocket costs and cause healthier people to drop from ACA individual plans, which could lead to instability.
The proposal is now open for comment from the public for the next 60 days.
Senator Hopes ACA Stabilization Bills Pass This Year
Senator Susan Collins (R-ME) continues to push for passage of both bipartisan ACA stabilization bills despite pushback from the House. She now believes it can happen before 2019.
Collins voted in favor of the tax overhaul legislation that repealed the ACA’s individual mandate under the condition that the stabilization measures become law to prevent rising premium costs.
One of the stabilization bills restores cost-sharing reduction (CSR) payments to insurers for two years; the other allows states to set up reinsurance programs.
“When the mandate is repealed in 2019, we must have other health care reforms in place in order to prevent further increases in the cost of health insurance. Senator Collins believes that averting these price spikes, particularly for low-income families, should be a goal that members of both parties can embrace,” said a statement from the senator’s office.
Healthcare Reform News Update for January 4, 2018
Analysts Predict Stable 2018 ACA Marketplace
Global credit rating organization A.M. Best believes that insurance markets under the Affordable Care Act (ACA) will be relatively stable this year.
According to a briefing released Wednesday: “Negative factors continue to impact the industry, but A.M. Best believes that insurers overall have been able to adapt and as a result, does not expect any significant deterioration in market conditions over the next year.”
However, the firm’s analysts said the forecast could change if Congress succeeds in repealing and replacing the ACA.
Healthcare Reform News Update for January 3, 2018
Conservative Groups Urge President to Promote ACA Repeal
Forty-three conservative advocacy groups sent a letter to President Donald Trump asking for his administration and Congress to prioritize repealing the Affordable Care Act this year.
Signers included Independent Women’s Voice, Heritage Action, Americans for Tax Reform, and Susan B. Anthony List.
An excerpt from the letter: “Health reform must be the focus of the 2019 budget reconciliation instructions. And your administration’s leadership can help the Senate and the House design a bill that can muster the votes needed for passage of true health reform to give Americans more choices of more affordable health coverage and care that meet their needs.”
The White House made no commitments, but a spokesman said that healthcare will be one of the topics discussed in meetings with Congress this week.
Confirmation Hearing for HHS Secretary Scheduled for Next Week
President Donald Trump’s pick to lead the Department of Health and Human Services (HHS) will face his confirmation hearing with the Senate Finance Committee on January 9.
Alex Azar was previously a deputy secretary for HHS and an executive at pharmaceutical company Eli Lilly.
If confirmed by the full Senate, Azar would replace Tom Price, who resigned from the position in September.