Trump to slash subsidies, disembowel key part of Affordable Care Act, sell cheap, ineffective policies
“President Donald J. Trump continued his assault on the Affordable Care Act with executive actions designed to break down key pieces of the landmark health care law. His sweeping order and actions are outrageous. He arbitrarily eliminated $9 billion in subsidies (cost-sharing reduction payments) intended to help insurance companies cover low-income Americans. The president also moved to begin a fundamental restructuring of the insurance market by opening the door to highly enticing low-cost policies that offer minimal coverage and little protection for consumers.
“The actions have the potential to roil insurance markets and pull health care coverage from many of the estimated 7 million Americans who use the insurance exchanges. The result of these acts could be catastrophic. According to the state insurance department, 506,000 Pennsylvanians rely on the subsidy payments for coverage and rates will increase over 20 percent due to their removal. According to the state Insurance Federation, removing the subsidies worsens the risk pool and is dangerous for insurers because they rely on predictability and stability. Instability leads to price increases, which reduces access. Costs will certainly increase, individuals will pay more for coverage, insurance companies will be driven out of the market and families will face anguish and despair. I am digging deeper into this travesty to better understand and learn more how alternatives and options can be deployed to blunt the impact.”