Trump Administration Freezes Affordable Care Act Payments - Articles

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Posted by: Jarod Word on Jul 9, 2018

In a surprise move on Saturday, the Trump administration announced that it will be temporarily halting billions of dollars of “risk adjustment” payments, designed to help insurers meet the Affordable Care Act requirement of providing coverage regardless of whether a person is healthy or sick, reports NPR. The program assists in determining risk for insurers, transferring funds from those who enroll healthier members for relatively less, to those that take on higher costs to enroll sicker members, insulating insurance companies from the cost of enrolling people with pre-existing conditions. Some critics fear that the recent action could spur a spike in insurance premiums for 2019.