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Friday, Jun 16 2017

Full Issue

Spiking Premiums In Volatile Marketplace Give Ammunition To Both Democrats, Republicans

Insurers all over the country are seeking increases averaging about 20 percent. While the GOP says rates have been trending this way for years, Democrats counter that the prices are high because Republican lawmakers and the Trump White House have destabilized the marketplace.

A growing number of major insurers are seeking premium increases averaging 20% or more for next year on plans sold under the Affordable Care Act, according to rate proposals in more than 10 states that provide the broadest picture so far of the strains on the marketplaces. As Republicans try to pass a health-care bill to overhaul the ACA, the attention has focused on insurers鈥 withdrawals from a few states that risk leaving some consumers with no exchange plans next year. But the rate requests by major insurers show stress on the marketplaces stretches beyond those trouble spots. (Wilde Mathews and Radnofsky, 6/16)

Insurers are nearing the deadline for deciding whether to propose massive rate hikes or leave the ObamaCare markets altogether in the face of immense uncertainty over the future of the law. The federal deadline for insurers to file rate proposals with the federal government is聽June 21. Many insurers had been hoping that the Trump administration would say for certain whether it would continue to pay cost-sharing reduction (CSR) subsidies for covering low-income enrollees. (Hellmann, 6/15)

With Connecticut鈥檚 health insurance exchange teetering 鈥 with just two insurers left and neither yet committed for 2018 鈥 the exchange鈥檚 board is beginning to watch聽innovations being considered in聽other states, including a single-payer system and Medicaid-for-all. Currently, the exchange, Access Health CT, is聽hoping聽to keep both its insurers and begin its聽open enrollment period on聽Nov. 1 (Werth, 6/15)

Meanwhile, a top Republican is pushing his colleagues to help stabilize the exchanges聽鈥

Sen. Lamar Alexander, who chairs an influential committee, asked the Trump administration on Thursday聽to commit to paying cost-sharing insurance subsidies created by the Democrats鈥 2010 health law for another two years, a move that might help stabilize these markets. Health and Human Services Secretary Tom Price responded to the Tennessee Republican's question by noting the Trump administration鈥檚 budget calls for paying these subsidies for two years. Alexander raised the issue with Price at a Senate Labor-HHS-Education Appropriations hearing on the department's fiscal 2018 request. Alexander is the chairman of the Senate Health, Education, Labor and Pensions Committee as well as a senior appropriator. (young, 6/15)

Alexander has been urging Congress to temporarily 鈥渞epair鈥 ObamaCare as Republicans work to dismantle and replace it. 鈥淭he payments will help to avoid the real possibility that millions of Americans will literally have zero options for insurance in the individual market in 2018,鈥 Alexander said at a Senate Appropriations subcommittee hearing on the HHS budget request. (Roubein, 6/15)

The statement from Alexander is one in a series in recent months urging federal lawmakers to take steps to stabilize the individual market while Congress works on the American Health Care Act. (Fletcher, 6/15)

This is part of the Morning Briefing, a summary of health policy coverage from major news organizations. Sign up for an email subscription.
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