Trump Administration Halts Payments Under Obamacare Program

Trump administration says it’s freezing payments under an ‘Obamacare’ program that protects insurers with

"This action will significantly increase 2019 premiums for millions of individuals and small business owners and could result in far fewer health plan choices", Serota said in a statement.

Health care insurance customers could be in for some sticker shock over next year's prices now that the Trump administration says it's freezing payments under an "Obamacare" program that protects insurers with sicker patients from financial losses.

"This decision will have serious consequences for millions of consumers who get their coverage through small businesses or buy coverage on their own. As a result of this litigation, billions of dollars in risk adjustment payments and collections are now on hold", CMS administrator Seema Verma reportedly said in a statement.

The New Mexico ruling found fault with the formula used by the government to calculate the payments, saying it was "arbitrary and capricious". But another district court in MA upheld the formula.

It also comes as insurers appeared to be warming back up to the ACA.

Insurance companies responded quickly on Saturday with their disapproval.

America's Health Insurance Plans (AHIP), a trade group representing insurers offering plans via employers, through government programs and in the individual marketplace, said the CMS suspension would create a "new market disruption" at a "critical time" when insurers are setting premiums for next year.

The move is expected to add to premium increases next year.

But supporters of the ACA criticized the CMS announcement as the latest move by the Trump administration to undermine Obamacare.

An insurance industry source said one fix the industry is pushing for is providing that additional explanation to the court, through what is known as an interim final rule, in order to resume payments.

But to Rodney Whitlock, Vice President of Health Policy at ML Strategies and former Republican congressional aide, it's not perplexing at all.

The mainstream media report offered more criticism from supporters of the Affordable Care Act.

Indeed, a series of actions by the administration have undermined the ACA. However, under Obamacare, insurance companies can not charge higher premiums, or even deny coverage, to clients with pre-existing conditions.

Still, insurers are grappling with changes that the Trump administration and Congress have made to Obamacare for 2019.

"They can't just say, 'Well, we're new, we don't like what the previous guys did, so we're going to do something different, '" Whitlock says.

Legal experts said there were several ways the administration could have dealt with the situation, without going so far as to suspend the program. Some insurances have even expanded their presence in states where they were already operating with help from the Affordable Care Act.

Related News:



Most liked

Trump picks conservative Brett Kavanaugh for Supreme Court
Judge Kavanaugh recently voiced disagreement with a court decision allowing an undocumented teenage immigrant to have an abortion. The source told Reuters that Amy Coney Barrett of IN , a Trump-appointed judge on the Chicago-based 7th U.S.

Buffon: I wouldn't be surprised if Juventus signed Cristiano Ronaldo
The former teammates at Real Madrid promise to be a fascinating duo and their partnership could possibly yield tons of goals. Mendes has previously insisted Ronaldo would be "eternally grateful" to Madrid if he decides to leave the club this summer.

Billy Dee Williams to Reprise Role as Lando Calrissian in Episode IX
It's about time! Billy Dee Williams is poised to break out the capes as Lando Calrissian once again. Star Wars: Episode IX is set to hit heaters on December 20, 2019.

NASA’s Kepler Telescope nearly out of fuel, forced to nap
For now, Kepler's team is concentrating on the downloading of data gathered during the spacecraft's most recent observation. Once the data has been downloaded, the expectation is to start observations for the next campaign with any remaining fuel.

Teen Arrested for Provocative Dance
She was one of several people recently detained on similar charges before being released on bail, the Associated Press reports . Six people were arrested in August over videos of themselves Zumba dancing were posted on social media.

Drake Debuts Live "Scorpion" Songs For First Time At Wireless Festival
But organisers promised "something special that won't disappoint" in his place. Wireless tweeted blaming his no-show on "travel issues".

Trump to announce Supreme Court nominee
The ads will simply tell viewers who the nominee is and explain why they are qualified to sit on the Supreme Court. Many reports have circulated that the decision is down to Hardiman and judge Brett Kavanaugh.

Pompeo shrugs off North Korea's accusation of USA 'gangster-like' demands
On Sunday, Iowa GOP Senator Joni Ernst said the US should restart its military exercises with South Korea if talks don't continue. He came out of the discussions saying they went well.

India thump England to clinch T20 series after Rohit Sharma century
Although he was economical throughout the series as he managed to keep the batsmen at the helm, he failed to grab wickets. Dhoni got to the 50-mark when he snaffled the unsafe Jason Roy caught behind off debutant Deepak Chahar's bowling.

Finally, England and Croatia have chance to banish semi blues
After 60 games we are down to just France , Belgium , England and Croatia remaining who can the win the 21st staging of the World Cup .

Gal Gadot Visited a Children's Hospital Dressed Up as Wonder Woman
Actress Gal Gadot surprised patients at a Virginia children's hospital on Friday while dressed in her " Wonder Woman " costume. That's the case when it comes to Gal Gadot , whose portrayal of Wonder Woman has endeared her to moviegoers of all ages.

Boris Johnson quits United Kingdom government in mounting Brexit crisis
The Conservatives now have 316 members of parliament (MPs) so 48 of them would need to write such letters to challenge May. Boris Johnson has caused further chaos in Theresa May's Conservative government by resigning as foreign secretary.

Three Lions tops Big Top 40 chart after England’s win against Sweden
Everyone seems to know the score They've seen it all before They just know, they're so sure That England's gonna. It was such a success that another version of it was recorded for the 1998 World Cup , called 3 Lions '98.

David Beckham condemns criticism aimed at England forward Raheem Sterling
They will face Croatia in Moscow on Wednesday night. "If we were to send England on holiday, too, it would be great because England has one of the best leagues in the world, if not the best".

Want to watch Beyoncé, Jay-Z, Usher & Oprah in Joburg? Here's how
There will be 100,000 tickets and 70,000 of them are free for you to earn by doing your bit to alleviate poverty in society. CEO of Global Citizens Hugh Evans said: "You have to play your part in giving back to society for six months".