Will Subsidy Extension Pass?
A Senate vote on a clean, three-year enhanced Exchange subsidy extension is scheduled for next week. And many Republicans are frustrated that their party is divided and no consensus can be reached on any compromise legislation. Any Republican bill would not be ready until after next week. That opens up the possibility that enough Republicans cross the aisle and vote with Democrats to extend the subsidies as is. House Speaker Mike Johnson, R-LA, has not yet committed to bring up the bill, but Democrats and some moderate Republicans could force a vote through a discharge petition.
Given the lack of a real Republican bill, GOP lawmakers in both chambers are coming around to a temporary extension of enhanced Exchange subsidies. Conservative House and Senate Republicans either want fundamental reform or no action to extend the enhanced subsidies. Moderate Republicans in the House want either a clean extension or small changes to address conservative concerns regarding uncapped subsidies, no premiums for some, and fraud.
In the Senate, Republicans favor a variety of Health Saving Account expansions, including a proposal from HELP Committee Chair Bill Cassidy that would send the difference between base and enhanced subsidies to certain Americans to buy insurance on their own or use for costs. Sen. Josh Hawley, R-MO, pitched a plan to allow taxpayers to deduct all out-of-pocket medical expenses up to $25,000 per individual or dependent.
The HELP Committee held an affordability hearing today that looked very much like one held in Senate Finance recently. Fireworks flew between the parties.
Moderate voices in the GOP, especially from swing districts, worry that affordability of healthcare will dominate midterm elections in 2026.
Additional articles: https://www.modernhealthcare.com/politics-regulation/mh-aca-subsidy-extension-republicans-congress/ and https://thehill.com/newsletters/health-care/5632682-bipartisan-obamacare-deal-remains-out-of-reach-in-senate-hearing/
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#exchanges #healthcare #coverage
https://thehill.com/policy/healthcare/5632583-republicans-divided-aca-subsidies
Commission Fight Heats Up
Medicare Advantage (MA) insurers limiting enrollment are taking state insurance regulators to court. Insurance regulators in six states told insurers last month that they must cease their commission reductions and marketing cutbacks for MA products. State regulators license agents and brokers and oversee insurance products but not MA. However, the federal government does require state licensure and solvency. Insurers are arguing state regulators are overreaching and do not have cognizance over this aspect of a federal product.
Two UnitedHealthcare subsidiaries and PacificSource Health Plan filed separate lawsuits against the Idaho Department of Insurance last month in response to cease-and-desist orders sent by the state regulator.
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#medicareadvantage #healthplans #marketing #commissions
— Marc S. Ryan
