President Donald Trump’s abrupt move to cut off federal payments to insurers threatens to boost premiums for millions and disrupt insurance markets.
The money goes to companies for lowering out-of-pocket costs like co-payments and deductibles for low- and middle-income customers. The impact could be severe in New York State, which stands to lose more than $870 million in subsidies.
According to The Buffalo News, New York’s Essential Plan – which offers low- cost health insurance to more than 665,000 people statewide – faces a grave future because of Trump’s decision. It reports that Trump’s move is expected to eliminate a quarter of the Essential Plan’s funding.
On Long Island, as of January 2017, more than 300,000 people were enrolled in plans through the state Affordable Care Act exchange, and more than 80,000 were enrolled in the Essential Plan.
New York state Attorney General Eric Schneiderman says he’s joining a multistate effort to sue over Trump’s decision.
He said the Republican president’s decision to end subsidies to insurers for low-income participants would cripple the state’s health care market, drive up insurance costs and cause poor people to go untreated.
I have a simple message for the millions of NYers & all Americans who woke up this morning scared about their future: we have your backs.— Eric Schneiderman (@AGSchneiderman) October 13, 2017
Gov. Andrew M. Cuomo has also vowed to fight the president’s latest health-care move.
We will not stand silently by as the federal government takes away the health care from New Yorkers. We will not go backwards.— Andrew Cuomo (@NYGovCuomo) October 13, 2017
If President Trump takes steps to dismantle Obamacare through executive order, New York will sue.— Andrew Cuomo (@NYGovCuomo) October 13, 2017
With Carol Polsky