Senate Works to Save CSR Payments, but Too Late for 2018

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The Affordable Care Act requires insurers to reduce cost sharing (deductibles and copays) in silver-level plans for marketplace enrollees with incomes below 250% of the federal poverty line. Until now, insurers have relied on offsetting payments from the federal government to provide this feature. These payments amounted to $7 billion for fiscal year 2017, $10 billion for 2018 and will reach $16 billion by 2027. However, the Trump administration in August moved to end the controversial set of payments to the insurance industry designed to encourage carriers to remain in the ACA exchanges. These payments – known as “cost-sharing reduction…
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Trump Administration Writing Regs to Loosen Rules on Health Plan Tax Credits for Small Employers

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The Trump administration is crafting regulations that will allow small employers to bypass government-run exchanges to purchase coverage and still be eligible for a tax subsidy. Part of the Affordable Care Act provides for small employers to be eligible for a tax credit if they purchase health insurance for their workers on federally operated exchanges for small businesses. However, the Small Business Health Care Tax Credit is only available to employers that bought coverage on the Small Business Health Options Program (SHOP), leaving those who bought plans on the private market out of luck. Now the Centers for Medicare & Medicaid…
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