Doug Badger, a senior fellow at the Galen Institute, says young adults will be the group most adversely affected by the ban on short-term plans.
“Ages 26 to 34, in particular, have the highest uninsured rates in the country,” Badger said. “The reason for that is the ACA regulations charge them unfairly high premiums to subsidize, essentially, their parents. People in their twenties and thirties are asked to pay unfairly high premiums to subsidize those in the fifties and sixties, who purchase plans for unfairly low rates.” Skyrocketing premiums have reduced the number of young adults purchasing insurance, Badger says, and the short-term plans could help remedy that.
“A crisis of affordability.” That’s what is plaguing the individual health insurance market, according to Seema Verma, the administrator of the Centers for Medicare and Medicaid.
The culprit? Obamacare. The health law’s regulations have steadily driven up the cost of insurance. Between 2013 — the year before most of Obamacare’s provisions took effect — and 2017, premiums for individual plans doubled. They’re expected to jump another 15 percent next year.
The Trump administration handed the decision about whether to offer short-term, limited duration health care plans over to the states. California immediately passed legislation to ban the sale of these plans, which the Trump administration had expanded access to by allowing for a longer renewal period and carrying time. Doug Badger, an expert on these plans, talks about why California’s decision is bad news for people seeking affordable alternatives to Obamacare Exchange plans and how, despite this, the move to let states decide is the intent of a federalist system.
The recent editorial regarding the supposed benefits of Medicaid expansion to Louisiana overlooked several important facts. Your editorial correctly noted that enrollment in Obamacare’s expansion to able-bodied adults exceeded projections by more than 100,000 individuals. As a result of this underestimation, an expansion originally projected to total $1.2 billion to $1.4 billion annually cost an estimated $3.1 billion during the last fiscal year.
On July 24, 2018, liberal activists announced they collected enough signatures to place Medicaid expansion on Idaho’s November 2018 ballot. If voters approve this initiative, Idaho will expand the program to able-bodied adults that earn up to 138 percent of the federal poverty line.
Supporters of Medicaid expansion claim the program will generate millions of dollars in new revenue and save money, citing a recent report from the consulting firm Milliman. However, an earlier 2016 report from Milliman determined Medicaid expansion would cost Idaho almost $3 billion more than its new estimates. The firm argues its 2018 estimates are more accurate because Medicaid expansion has cost other states less than previously thought, but this claim is completely without merit.
A few states have found a key to undoing some of Obamacare’s damage to their individual health insurance markets by redirecting some federal funding to help sick people. These states are providing separate assistance to those with the highest health costs, thereby reducing premiums and increasing enrollment for healthy people driven out of the market by soaring costs.
Maine’s Republican governor has said federal regulators want to know how Maine would pay for Medicaid expansion. But it’s unclear just how that issue will play out in Maine, the first state to pass Medicaid expansion under Republican President Trump’s administration.
States must file routine paperwork to get federal Medicaid expansion funding under former Democratic President Obama’s signature health care law. The Centers for Medicare & Medicaid Services told The Associated Press on Tuesday that it works to ensure states pay for their share of an expansion with “proper” financing.
The Wisconsin Department of Justice has filed a new lawsuit against the federal government over a fee for health insurers under the Affordable Care Act.
State Attorney General Brad Schimel announced last week the state had filed the lawsuit, along with a motion for a temporary restraining order against President Donald Trump’s Administration, as the deadline nears for Wisconsin to pay more than $30 million through the health insurance providers fee.
States serve as “laboratories of democracy,” as U.S. Supreme Court Justice Louis Brandeis famously said. And states are also labs for health policy, launching all kinds of experiments lately to temper spending on pharmaceuticals.
No wonder. Drugs are among the fastest-rising health care costs for many consumers and are a key reason health care spending dominates many state budgets — crowding out roads, schools and other priorities.
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