Since the Affordable Care Act came into effect, millions of Americans have utilized Obamacare plans on an annual basis. Although, recent data released by the Congressional Budget Office demonstrates that Obamacare enrollment will diminish over the course of the next few years. So, we’re going to break down this report today to understand the bigger picture.
According to a report by Reuters that analyzed the Congressional Budget Office report said the “average monthly enrollment on the exchanges” will be approximately 11 million people. This is down four million compared to last year, and future projections suggest this figure will continue to drop steadily.
Why Is This Happening?
The report and several media organizations seem to point the figure at the Trump administration. Since assuming power in January 2017, the federal government has decided to cut the Open Enrollment Period to 45 days (it used to be 90 days) and slashed the advertising budget in half. This means fewer Americans will be exposed to ads supporting Obamacare plans, and they’ll inevitably miss out on enrollment.
Cost-Sharing Reduction Payments
This is also coupled with the fact the White House has been reluctant to make key cost-sharing reduction (CSR) payments to insurers over the last few months. These payments partially subsidize premiums for millions of impoverished Americans and make Obamacare plans affordable. During the month of August, Donald Trump hinted these CSRs could be ending in the near future, sending millions of Americans into a state of shock and panic. As a result, insurance companies will increase their premiums this year by an estimated 15 percent. Experts also suggest premiums will continue to rise by an extra five percent each year until 2027, ultimately making health insurance less affordable for millions of Americans.
For the last few months, Donald Trump and the Republicans have done all in their power to dismantle the Affordable Care Act. Their attempts in Congress have failed though, as this subject is extremely divisive even amongst the Republican party. Politicians have yet to draft a feasible repeal-and-replace bill to ensure the insurance industry wouldn’t plunge into a state of chaos if Obamacare were eliminated. So, we’ll just have to wait and see what happens in the next few months when Congress is back in session.
If you’re currently confused about Obamacare enrollment, or you have a general question regarding this subject, feel free to call HealthQuoteInfo at 855-614-5057. Our specialists will be able to explain all of the specifics in great detail and provide the latest information.