Following Through On Months Of Threats, Trump Vows To ‘Immediately’ End Insurer Subsidies
The move to end the subsidies, which help low-income consumers afford coverage, is likely to cause upheaval in the health law's marketplace. Democrats are blasting the decision as "spiteful" and another way that the president is trying to sabotage the Affordable Care Act.
The New York Times:
Trump To Scrap Critical Health Care Subsidies, Hitting Obamacare Again
President Trump will scrap subsidies to health insurance companies that help pay out-of-pocket costs of low-income people, the White House said late Thursday. His plans were disclosed hours after the president ordered potentially sweeping changes in the nation’s insurance system, including sales of cheaper policies with fewer benefits and fewer protections for consumers. The twin hits to the Affordable Care Act could unravel President Barack Obama’s signature domestic achievement, sending insurance premiums soaring and insurance companies fleeing from the health law’s online marketplaces. (Pear, Haberman and Abelson, 10/12)
The Associated Press:
Trump To Issue Stop-Payment Order On Health Care Subsidies
The Department of Health and Human Services made the announcement in a statement late Thursday. "We will discontinue these payments immediately," said acting HHS Secretary Eric Hargan and Medicare administrator Seema Verma. In a separate statement, the White House said the government cannot legally continue to pay the so-called cost-sharing subsidies because they lack a formal authorization by Congress. However, the administration had been making the payments from month to month, even as Trump threated to cut them off to force Democrats to negotiate over health care. (10/13)
The Wall Street Journal:
Trump To End Subsidies To Health Insurers
“We believe that the last Administration overstepped the legal boundaries drawn by our Constitution,” acting HHS Secretary Eric Hargan and Seema Verma, administrator of the Centers for Medicare & Medicaid Services, said in a joint statement. “Congress has not appropriated money for [the payments], and we will discontinue these payments immediately.” (Armour, 10/13)
Politico:
Trump Will Scrap Critical Obamacare Subsidy
The subsidies, which are worth an estimated $7 billion this year and are paid out in monthly installments, may stop almost immediately since Congress hasn’t appropriated funding for the program. (Dawsey and Demko, 10/12)
NPR:
Trump Administration To End Obamacare Subsidies For The Poor
The decision ends speculation about whether the Trump administration would continue making the monthly payments to insurers. That money particularly helps people earning between 100 percent and 250 percent of the poverty level pay for the insurance and health care they get through the exchanges set up by the Affordable Care Act, also known as Obamacare. (Kurtzleben and Neuman, 10/12)