CBO Projects That 22 Million Would Lose Coverage Under Senate Bill

On June 26, 2017, the Congressional Budget Office and Joint Committee on Taxation (referred here collectively as CBO) released a cost estimate on the Senate’s Better Care Reconciliation Act (BCRA) of 2017. The JCT separately released an analysis of the revenue effects of the legislation. The headlines are that the BCRA would reduce spending over the period of 2017-2026 by $321 billion, $202 billion more than the reduction that would result from House American Health Care Act (AHCA). It would also, however, reduce coverage by about 22 million people by 2026, an only slightly smaller coverage loss than under the AHCA, leaving about 49 million people uninsured in that year. The CBO projects that the BCRA would reduce premiums in the individual market as compared to current law but would dramatically increase out-of-pocket spending for cost-sharing. Indeed, the CBO believes that many lower-income people would not consider the BCRA insurance worth buying despite the bill’s continuation of income-based tax credits. The BCRA would raise the cost of coverage significantly for older people as it reduced it for younger people. The CBO believes that the six-month waiting period for coverage in the individual market for individuals with gaps in coverage would only slightly increase the number of people covered. The waiting period would have far less effect on coverage than the individual mandate would have if not repealed. Unpacking The BCRA’s Spending And Revenue Effects The CBO p...
Source: Health Affairs Blog - Category: Health Management Authors: Tags: Costs and Spending Following the ACA Insurance and Coverage Medicaid and CHIP 1332 waivers Congressional Budget Office continuous coverage requirements The American Health Care Act The Better Care Reconciliation Act Source Type: blogs