Published: Tue, July 10, 2018
Medical | By Vicki Mclaughlin

Trump administration freezes Obamacare payments, citing court decision

Trump administration freezes Obamacare payments, citing court decision

For example, it could have provided a more detailed explanation of the formula to the New Mexico court and kept the payments going. Payments for 2017 are $10.4 billion.

Risk adjustment is an important part of the ACA.

The risk adjustment program plays an important role in the ACA by pooling risk for insurers, transferring funds from insurers who enroll healthier members for relatively less, to those that take on higher costs in order to enroll sicker members. The CMS makes risk-adjustment payments to insurers to help encourage them to participate in the marketplace and offset the costs of enrolling more expensive - high risk - people in insurance pools.

Serota noted that the payments are required by law, and said he believes the administration has the legal authority to continue making them despite the court cases. They claim its reimbursement formula is flawed and CMS has ignored it for years, resulting in the failure of many small health plans.

While imperfect, the risk adjustment program "has helped promote market stability over the past five years", Wehrle said.

"It has caused insurer collapses and market exits that reduced competition". Insurers say the sudden halting of those payments creates uncertainty at a critical time, as they are now developing their premiums for 2019.

George Clooney Injured in Italy Car Crash
George Clooney has been injured after a motorcyle he was riding collided with a pickup truck in Sardinia, Italian media reports. They met when she attended one of his parties at his Lake Como mansion, and Wednesday in Venice a year later.

George Clooney involved in motorbike accident in Italy, reports say
His castmates include Hugh Laurie, Austin Stowell ('Whiplash') and Kyle Martin Chandler ('Friday Night Lights'). Clooney was taken to a hospital and the injuries are not believed to be serious, according to La Nuova .

Prince Harry gifts Prince Louis $10K 'Winnie-the-Pooh' book
Prince William and his wife, Catherine, were present for their third child's ceremony, which took place at the Chapel Royal in St. Princess Charlotte's enormous hold on the fashion industry continues, with many of her outfits selling out instantaneously.

The administration argued in its announcement that its hands were tied by conflicting court rulings in New Mexico and MA.

The New York Times suggested the payment freeze could "increase uncertainty in the markets and drive up premiums this fall". "It moves us back to some extent to the status quo where people with pre-existing conditions found it very hard to get insurance".

In December, the GOP Congress eliminated the requirement that all Americans have health insurance - a provision of the ACA that balanced out the sick and healthy to keep insurance prices lower. It added that the move comes at a critical time when insurance providers are developing premiums for 2019 and states are reviewing rates.

She noted it is the latest action by the administration of President Donald J. Trump, which has weakened the landmark law that expanded healthcare for many more Americans. "And costs for taxpayers will rise as the federal government spends more on premium subsidies". The move is just the newest in a series of attempts by Trump's administration to disrupt the insurance markets that the Affordable Care Act depends on to function. On the same day, Minuteman Health, Inc. filed a similar complaint in district court in MA.

CMS plans to appeal the court's ruling, as the U.S. District Court for the District of MA ruled to uphold the payments.

Trump administrators suspended the payments over a February ruling by a federal district court in New Mexico, according to the reports.

Like this: