Key Points of President Trump's Health Care Executive Order

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But the effects are also complicated and sometimes counter-intuitive (cutting off CSRs might lower some customer premiums, for example).

"Based on guidance from the Department of Justice, the Department of Health and Human Services has concluded that there is no appropriation for cost-sharing reduction payments to insurance companies under Obamacare", the White House statement said. Experts say that's another move that could weaken Obamacare, as healthier enrollees flee to cheaper but skimpier plans.

Like employer-sponsored insurance, AHPs would not be subject to many of Obamacare's regulations. They come after Trump was unsuccessful multiple times in getting the program repealed via Congress. Massive subsidy payments to their pet insurance companies has stopped.

Ending the payments, which cost about $7billion total this year, was one of Trump's campaign promises before he was elected in 2016. The federal poverty level for 2017 is $12,060 for a single person and $24,600 for a family of four, with slightly higher amounts for Alaska and Hawaii.

Republican House Leader Paul Ryan voiced his approval for the plan in a statement tweeted out by Sahil Kapur, National political reporter for Bloomberg News.

In the best case scenario, eliminating the CSR payments, which were designed to compensate insurers for providing discounts to their lowest-income customers, will cause premiums to spike.

Timing of any changes is unclear - and implementation may be slow.

In a separate statement, the White House said the government cannot legally continue to pay the so-called cost-sharing subsidies because they lack a formal authorization by Congress. A senior administration official said Trump is concerned about the growing number of regions served by only one or two insurers or hospital systems. It's unclear whether any new rule changes could be ready for implementation within that timeframe.

Frustrated over setbacks in Congress, Trump is wielding his executive powers to bring the "repeal and replace" debate to a head.

"With respect to short-term duration plans, we welcome and support returning to state regulators authority and market oversight of these products".

Key will be just what the plans cover - and what they exclude.

The administration also halved the open enrollment period, which begins Nov. 1, slashed the Obamacare advertising and outreach budget, and allowed broad religious and moral exemptions to the law's mandate that employers provide coverage for women's birth control.

The Obama and Trump administrations had been making the subsidy payments month by month so the Trump announcement raises the possibility that the payments could be immediately halted.

Hospitals, doctors, health insurers, state insurance commissioners and patient advocates decried Trump's move, saying consumers will ultimately pay the price.

"It's one more option for small employers to look at - and the question is how available is it going to become", she says. "In the end it's going to be just as effective and maybe it will even be better". Proponents say allowing consumers to buy insurance through these organizations gives them more clout with insurers than they'd have buying their own plan on the individual market - and results in lower premiums.

As of February, more than 426,000 Pennsylvanians signed up for individual plans with more than 75 percent of them receiving financial assistance to offset premiums.

The Obama administration had been concerned that businesses could use association health plans to flout ACA policies and coverage mandates.

Insurers are still mandated buy law to provide lower out-of-pocket costs.

"Please consider the people who need this assistance so they can live". Some insurers' contracts with states include clauses allowing them to pull out of the exchanges if certain events occur - including the end of CSR payments.



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