The Alexander-Murray compromise is a good first attempt at bipartisanship, but it is flawed. Democrats want to fund the cost-sharing reduction subsidies through 2019. If this plan is agreed to, Democrats will have no incentive to continue negotiating until after the 2018 midterms and the GOP would lose its opportunity to make more progress on health care.
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The Trump executive order calls for broadening the definition of a “bona fide group or association” to allow a greater number of small employers that are members of local chambers of commerce or a national trade association to form fully insured “large group” or self-insured “group” association health plans.Association health plans are by definition required to provide adequate coverage, and additional federal protections apply, including fiduciary responsibilities, a rigorous appeals process, and prohibitions against basing premium rates on an individual participant’s health condition.
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In the Wall Street Journal, Sens. Lamar Alexander (R-TN) and Mike Rounds (R-SD) write that their bipartisan bill is the short-term solution to reduce health-insurance premiums and avoid chaos in the individual market so 18 million Americans won’t be hurt. After eight years of ObamaCare speeches and votes but zero legislative victories, they argue that their bill actually could make conservative ideas law. It would permanently roll back some restrictions on states and allow anyone to buy a lower-cost catastrophic plan. To achieve these conservative victories, cost-sharing reduction payments should be expanded for two more years.
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Republicans should focus on revisions and improvements to the state-innovation-waiver provision in the A.C.A. As part of that provision, Section 1332 allows states to receive federal financial support in a lump sum and to waive or revise many of Obamacare’s most noteworthy provisions, including its mandates, the structure and administration of subsidies provided by it, and covered benefits. In return for this flexibility, states must certify that the changes will still result in coverage that is as comprehensive, affordable and widespread as that provided for under the law.
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Finally, a Republican has gotten a boost from the CBO. A bipartisan Senate plan to try to stabilize Affordable Care Act marketplaces would lower the federal deficit by nearly $3.8 billion during the next decade and would not affect the number of people with health insurance, Congress’s official budget scorekeepers said Wednesday. This bill does what the CBO predicted Congress would eventually need to do so the costs were built in to existing budget estimates.
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The average price of the most popular types of Obamacare health plans sold on the federal insurance marketplace will be at least 34 percent higher in 2018, according to an analysis released Wednesday.
The Avalere Health analysis also found lower — but still double-digit — average price hikes for the other types of Obamacare plans, which go on sale Nov. 1.
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