[ad_1]
Millions in health insurance limbo as subsidy decisions are delayed.
WASHINGTON — While the proposed deal to end the government shutdown would address federal workers and SNAP benefits, it would still leave millions of Americans uncertain about their health insurance.
The deal would push any congressional decision about Affordable Care Act subsidies to December, leaving those trying to navigate open enrollment in limbo.
Without those subsidies, the cost of Affordable Care Act insurance plans could skyrocket in the new year.
President Donald Trump has floated an idea to take the money for the subsidies and give it directly to Americans’ personal health savings accounts.
In a post on Truth Social, the president said he recommends Senate Republicans take money currently being sent to insurance companies and instead send it “directly to the people so that they can purchase their own, much better health care.”
“Giving them access to an account with some money in it is sort of like giving somebody a five-foot rope for a ten-foot hole,” said Sabrina Corlette, the co-director of Georgetown University’s Center on Health Insurance Reforms.
She said the extra money isn’t very useful without underlying insurance, which millions of Americans could lose if Affordable Care Act subsidies aren’t extended.
“Working people, half of them are small business owners or work for small businesses. They’re farmers, they’re gig economy workers. They are basically folks who are out there working for a living, but for whatever reason, their employer doesn’t offer them health insurance.”
She said without the subsidies, their monthly insurance premiums could double, in some cases even quadruple. The Congressional Budget Office has estimated that close to 4 million people would become uninsured as a result.
“In the insurance world, we call this a premium death spiral, because as the premiums go up, more healthy people drop their coverage. And you sort of get into this vicious cycle year over year, of healthy people leaving, sicker people trying to hang on, but the costs going up for everyone each year,” said Corlette.
In the proposed bipartisan deal to open the government, Republicans have agreed to a Senate vote on the subsidies next month, though the House has made no such promises.
Corlette said those trying to figure out their health care plans should be aware of those looking to take advantage of the policy uncertainty.
“Bad actors who will try to sell people what is essentially garbage. They use very deceptive marketing tactics to make people think something is real insurance, when it is not.”
Despite all the uncertainty, she said to avoid waiting to enroll in your marketplace plan.
While she said she is not optimistic, if the tax credits are extended, they will be applied to those who qualify, even if they have already enrolled in a plan.
The Senate has promised its vote on the subsidy extension by the end of the second week of December, if its bill to reopen the government passes.
[ad_2]