Donald Trump has done everything in his power to sabotage the Affordable Care Act aka “Obamacare” out of pure spite and hatred for Barack Obama, without any regard for Americans who will be harmed by his actions.
Last month, the Trump administration announced that it would abruptly halt important Obamacare payments, leaving only two likely explanations: incompetence or sabotage. Trump’s latest move on Obamacare is incompetent — or sabotage:
The Centers for Medicare and Medicaid Services (CMS) stunned the health-care world on July 7, revealing that it would stop collecting and paying out money under the Affordable Care Act’s risk-adjustment program. The program helps level out costs among insurers participating in Obamacare marketplaces. Those with inordinately healthy — and inexpensive — customers pay to compensate those with unusually sick — and costly — customers. Without such a program, insurance companies would compete to attract only healthy customers by narrowing benefits and finding other ways to discriminate against people who need care. Insurers who were unsuccessful in deterring sick people from signing up would have to raise premiums, leading to the loss of healthier customers and a downward financial spiral. With the program in place, on the other hand, the insurers in a given market are part of a big, effective insurance pool whose risks are spread across all.
As you might imagine, Health Insurers Warn of Market Turmoil as Trump Suspends Billions in Payments:
Many insurers that enroll large numbers of unhealthy people depend on the “risk adjustment” payments, which are intended to reduce the incentives for insurers to seek out healthy consumers and shun those with chronic illnesses and other pre-existing conditions.
“Any action to stop disbursements under the risk adjustment program will significantly increase 2019 premiums for millions of individuals and small-business owners, and could result in far fewer health plan choices,” said Justine G. Handelman, a senior vice president of the Blue Cross and Blue Shield Association. “It will undermine Americans’ access to affordable care, particularly for those who need medical care the most.”