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If the Trump administration’s goal is to lower federal healthcare spending, discontinuing cost-sharing reduction subsidies, or CSRs, to insurers under the Affordable Care Act (ACA) could backfire, according to an analysis from the Kaiser Family Foundation.

CMS released the 2018 Medicare Inpatient Prospective Payment System (IPPS) proposed rule on April 14, promising “transparency, flexibility, program simplification and innovation to transform the Medicare program” in the first IPPS rule under a new CMS and HHS administration.

CMS has issued its final rule aimed at stabilizing the Affordable Care Act (ACA) health insurance exchanges, checking many items off insurers’ wish lists while leaving the most pressing issue—whether cost-sharing reduction subsidies will be funded—unsettled as insurers decided whether to participate in the individual market next year.

Stephen Parente, PhD, MPH, MS, brings a long resume as a health economist and policy expert. He’s spent the last 17 years at the University of Minnesota, currently holding the title of Minnesota Insurance Industry Chair of Health Finance in the Carlson School of Management and director of the school’s Medical Industry Leadership Institute.

The average monthly premium for a benchmark silver-level plan on the Affordable Care Act (ACA) insurance marketplace would need to be increased by 19 percent to compensate for lost cost-sharing subsides if the program isn’t funded by the Republican-controlled Congress for 2018.

 

Recent Headlines

ACA subsidies could go to off-exchange insurers under Republican legislation

If a county finds itself with no participating insurers in the Affordable Care Act (ACA) exchanges in 2018, customers would be allowed to use federal subsidies on insurance outside that marketplace under a bill introduced by Tennessee’s two Republican Senators. 

AHA: Next healthcare bill may be attached to CHIP renewal in October

Debate over the Affordable Care Act (ACA) often revolves around three Rs: repeal, replace and repair. American Hospital Association (AHA) President and CEO Rick Pollack thinks after the failure of the American Health Care Act (AHCA), two more can be added: Republican and revolt.

Healthcare industry welcomes decision to yank ACA replacement bill

Groups representing physicians, family medicine and hospitals were pleased to see the American Health Care Act (AHCA), the Republican-sponsored replacement to the Affordable Care Act (ACA), tabled before a scheduled House vote on March 24—even though it left plenty of uncertainty for insurance markets.

ACA replacement bill pulled before House vote

In a victory for the major medical organizations opposed to it, a scheduled vote in the House on the American Health Care Act (AHCA) was called off as Republican leaders failed to convince enough of their own members to support the plan to replace the Affordable Care Act (ACA).

CBO: ACA replacement changes save less money, don’t improve coverage

An updated assessment on the American Health Care Act (AHCA) from the Congressional Budget Office (CBO) said amendments to the Republican-sponsored Affordable Care Act replacement plan wouldn’t improve its losses in insurance coverage and would decrease the amount of savings to the federal budget. 

House vote on ACA replacement postponed

House Republican leaders have chosen to call off a planned vote on the American Health Care Act (AHCA), their replacement for the Affordable Care Act (ACA), as last-minute revisions and negotiations failed to guarantee enough support to pass the bill.

Possible repeal of required health benefits draws ire of public hospitals, ER docs

In last-minute negotiations on the American Health Care Act (AHCA), eliminating the 10 “essential health benefits” requirements put in place by the Affordable Care Act (ACA) was floated as an option to win over conservative lawmakers, a development which was quickly opposed by groups representing public hospitals and emergency physicians.

Major players remain opposed to ACA replacement ahead of House vote

The American Medical Association (AMA), the American College of Physicians (ACP) and the American Academy of Family Physicians (AAFP) have all come out against passage of the American Health Care Act (AHCA), the Republican-sponsored plan to replace the Affordable Care Act (ACA), which is scheduled for a vote before the full House of Representatives on March 23.

5 changes made in revised ACA replacement plan

Ahead of a planned March 23 vote on the American Health Care Act (AHCA), House Republican leaders released a new version of the replacement plan for the Affordable Care Act (ACA) with several big changes aimed at bolstering support for the legislation within their own party.

MGMA to CMS: Where are the MIPS eligibility notifications?

The Medical Group Management Association (MGMA) has asked newly confirmed CMS Administrator Seema Verma to quickly release overdue eligibility information for the Merit-based Incentive Payment System (MIPS), one of two new payment tracks implemented as part of the Medicare Access and CHIP Reauthorization Act (MACRA). 

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