Donald Trump made a hard-to-resist offer to all health insurers out there in a desperate bid to clinch more political support for the passage of the GOP’s health care overhaul (aka Trump care).
Trump reportedly told health insurance companies that they will still be able to receive federal money for the premium subsidies that make health insurance affordable for millions of low-income Americans. The grants are also known as cost-sharing reductions (CSRs).
In the past, Trump threatened to slash CSRs in his efforts to dismantle Obamacare, making many insurers nervous. However, Trump’s offer comes with strings attached: health insurance companies will have to lend him political support in the Senate to pass Trump care.
The odds for the bill to pass in the Senate in its current form are minuscule, but with help from health insurers, it might stand a chance.
In the meantime, the GOP is focused on spreading a series of falsehoods about Obamacare to boost the new bill’s chances of becoming law. For instance, they claim that without the CSRs the entire health insurance market would enter a “death spiral” as they would be collapsing under their weight.
Health Insurers, State Regulators Anxious
As a result, many health insurance companies are thinking seriously about either hiking premiums or leaving the markets altogether. The companies are on edge over the White House’s erratic management as they do not know what to expect next. Meanwhile, state insurance regulators are becoming increasingly aware that they cannot count on Washington to help them make sure that their voters will be able to buy a health plan next year.
Trump’s critics blame him and his associates for the chaos because they refuse to commit to keeping the markets running and fining people who refuse to buy health insurance, like his predecessor did.
Image Source: Wikimedia