GOP’s Obamacare Replacement Plan Begins To Emerge

It perhaps raises more questions than it answers, but isn’t that the way any process to overhaul the health care system starts? Republican legislators yesterday unveiled aspects of what will come after Obamacare. President Trump in a contentious news conference yesterday took a shot at the ACA. “We’ve begun preparing to repeal and replace Obamacare,” the president said. “Obamacare is a disaster, folks.” Trump said a complete repeal and replace plan will probably be revealed in March.

What’s known so far is that the GOP alternative as unveiled by Republican leaders in the House of Representatives would revamp Medicaid, reducing its funding process, according to the Wall Street Journal. The plan, backed by Rep. Paul Ryan, would do away with the ACA’s penalty on Americans who do not have health insurance. The individual insurance market will also see some shakeup. The GOP wants to replace ACA subsidies with tax credits, the idea being that that money could help people buy insurance that they can afford since the overhaul also does away with the ACA’s mandatory coverage requirements that help spike insurance premiums.

As the Wall Street Journal reports, it’s a balancing act. House GOP leaders say that they want to mollify moderate Republicans who are concerned about repealing parts of the ACA without having a comprehensive replacement plan in place. They also want to assure more conservative members that repeal and replace is indeed moving forward.

“Their plan would increase the amount of money that people could put into health savings accounts, and it would offer age-based monthly tax credits to people buying health insurance on the individual market,” the Wall Street Journal reports. “People who don’t get insurance through their employers would receive refundable credits to buy benefit plans that could be less comprehensive than currently permitted under the law.”

Source: Wall Street Journal(link is external)