Report: Higher Premiums If Trump Halts ‘Obamacare’ Subsidies
WASHINGTON (AP) – People buying individual health care policies would face higher premiums, and some may be left with no insurance options if President Donald Trump makes good on his threat to stop “Obamacare” payments to insurers.
That’s the conclusion of a new report by the nonpartisan Congressional Budget Office.
The CBO report Tuesday also estimated that cutting off the payments would add $194 billion to federal deficits over a decade. That’s because other subsidies would automatically increase with rising premiums, wiping out any savings.
The so-called “cost-sharing” payments reimburse insurers for subsidizing out-of-pocket costs for people with modest incomes.
Trump has threatened to cut off the money, most recently after the collapse of the GOP health care bill. He says that will force Democrats to negotiate with him on health care.