President Trump’s Most Destructive Act of ACA Sabotage Yet Will Hurt Millions of Families
Washington, D.C. – Following is the statement of Claire McAndrew, Families USA’s Director of Campaign Strategy, on President Trump’s announcement that his administration will cease making “cost-sharing reduction” payments, or CSRs. These payments cover insurers’ cost of lowering deductibles and other out-of-pocket costs for almost 6 million people who get health coverage through the Affordable Care Act marketplaces.
In August, the Congressional Budget Office found that eliminating these payments would cause an immediate 20 percent increase in premiums on top of already-planned increases. Insurance companies would also pull out of marketplaces. CBO also found that federal budget savings from cancelling the payments would be greatly outweighed by increased federal costs resulting from higher premiums. On balance, the federal deficit would increase by $194 billion over 10 years.
“As President Trump takes a wrecking ball to the health coverage of this nation, our thoughts are with the anxious families who rely on this coverage. With open enrollment in the marketplaces less than 3 weeks away, the president’s actions leave families and individuals confused and worried about their ability to afford coverage on which they rely for life-saving health care.
Withholding these payments is the President’s most destructive act of health care sabotage yet. The President won’t just be watching the health care system fail; he’ll be wrecking it himself. Without these payments, premiums will rise by 20 percent. Some insurers will decide enough is enough and leave individual insurance markets altogether, leaving some families without any insurance options.
Members of Congress must stand with the majority of Americans who want them to improve the Affordable Care Act, not tear it down. We call on Congress to act quickly to fund CSRs permanently and pass other bipartisan reforms to improve health care for families and individuals.”