A new wrinkle has been added to the football of healthcare insurance subsidy payments….
It seems that there are fail safes in the law that kick’s in if one type of subsidy is gone….ANOTHER subsidy would become available …This one would make available tax credits that would replace the subsidy money gone….And could be used by even MORE people that us the current system…(The number of uninsured Americans is reported to have risen recently by one poll)
Insurance companies would raise rates , but a good amount of people who idamize their taxes could claim the higher payments and rcoup some of the increased money they paid to insurers from the government…This would surely cost the government MORE than just paying the insurance comoanies direct since it requires more papaerwork and handling….
This would NOT help those low-income people who need the current subsidy availablity up front….(But they have states lining up to sue the Trump Admin to free the subsidy money….The US Senate has the votes to pay the subsidies for 2 years, but the House is another thing)
If President Donald Trump prevails in shutting down a major “Obamacare” health insurance subsidy, it would have the unintended consequence of making free basic coverage available to more people, and making upper-tier plans more affordable.
The unexpected assessment comes from consultants, policy experts, and state officials, who are trying to discern the potential fallout from a Washington health care debate that’s becoming even more complicated and volatile.
What’s driving the predictions? It’s because another subsidy that’s part of the health law would go up for people with low-to-moderate incomes, offsetting Trump’s move.
“It’s a kind of counter-intuitive result,” said Kurt Giesa, a health insurance expert with the Oliver Wyman consulting firm.
Think of pushing down on one end of a see-saw and the other end goes up.
According to one estimate, more consumers would sign up for coverage next year even though Trump says the Affordable Care Act is “virtually dead.”….
The chances of the Affordable Healthcare Law (Obamacare) going away in its entirety are remote….