How Trump’s Threat to Halt Federal Health Insurance Payments Will Impact Michigan

FOR IMMEDIATE RELEASE
News from the Michigan Democratic Party

Thursday, August 3, 2017
Contact: Paul Kanan, 517.371.5410; pkanan@michigandems.com

How Trump’s Threat to Halt Federal Health Insurance Payments Will Impact Michigan

LANSING — Donald Trump’s threat to sabotage the country’s health insurance markets by withholding cost sharing reductions (CSRs) — federal payments that health insurance companies rely on to keep coverage affordable — would devastate some of our country’s most vulnerable communities and directly impact millions of Americans who could see their premiums increase by double digits. The mere suggestion to stop these federal payments has already created major uncertainty in the nation’s insurance market, causing insurers to raise premiums or leave markets entirely.

The Michigan Department of Insurance and Financial Services has delayed publishing insurance companies’ proposed premium increases because of “uncertainty” about whether or not Trump’s administration will continue the CSRs.

CSR payments help keep coverage affordable for more than 141,000 Michiganders, which is 50 percent of the total marketplace enrollees in Michigan.

BACKGROUND

Michigan Radio: What are cost-sharing reductions, and what happens if Trump ends them?

By Emma Winowiecki

August 2, 2017

“The Michigan Department of Insurance and Financial Services announced Tuesday that it won a 30-day extension to publish proposed health insurance rate hikes, citing “uncertainty” over whether insurers will be reimbursed for providing required financial assistance to low-income consumers who purchase insurance through the individual marketplace.

“That uncertainty has increased recently as President Trump continues to threaten to end federal health care subsidies, called cost-sharing reductions, which help low-income Americans pay for health insurance.”

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