January 23, 2023
**Provisions of the Enhancing Well being Insurance coverage Affordability Act had been signed into legislation by the Inflation Discount Act & the American Rescue Plan Act**
**Estimates recommend 8.9 million Individuals have decrease premiums due to enhanced tax credit**
**Shaheen’s efforts mark essentially the most important replace to Reasonably priced Care Act in a decade**
(Washington, DC) – US Senator Jeanne Shaheen (D-NH) immediately reintroduced her laws, the Enhancing Well being Insurance coverage Affordability Act. The invoice would make everlasting enhanced tax credit that led to file Market enrollment, whereas decreasing well being care prices for tens of millions of extra Individuals.
Final Congress, Shaheen efficiently secured premium tax credit score enhancement provisions from her laws by COVID-19 reduction laws, the American Rescue Plan. This growth of premium tax credit marked the most important enchancment to the Reasonably priced Care Act because it grew to become legislation over a decade in the past. When the tax credit had been set to run out on the finish of final yr, Shaheen efficiently prolonged their authorization by the Inflation Discount Act. The Enhancing Well being Insurance coverage Affordability Act continues to construct on these efforts by making these tax credit everlasting whereas additionally decreasing out-of-pocket prices for Market enrollees. These provisions stand to develop entry to well being care and decrease prices for tens of hundreds of Granite Staters and tens of millions of Individuals.
“As new COVID variants and viruses just like the flu and RSV proceed to impression our communities, entry to high quality, reasonably priced well being care continues to be important. The ACA tax credit approved by each the American Rescue Plan and Inflation Discount Act have already made a big impact for households – considerably decreasing prices and growing entry to medical insurance. Now, it is time to make these enhancements to the ACA everlasting,” stated Shaheen. “I have been sounding the alarm on the necessity to go my laws to develop and improve ACA premium tax credit for years, and I hope this Congress we lastly take the motion wanted to make sure well being care is inside attain for each American.”
The Enhancing Well being Insurance coverage Affordability Actwould make everlasting the Reasonably priced Care Act’s (ACA’s) enhanced premium tax credit for Well being Insurance coverage Market protection as prolonged by the Inflation Discount Act. These enhanced tax credit elevated the worth of the tax credit obtainable to folks with revenue between 100 and 400 p.c of the federal poverty stage (FPL) whereas increasing eligibility for premium tax credit to incorporate people with revenue above 400 p.c of FPL. The invoice would additionally make the second-lowest-cost Gold plan the benchmark plan upon which premium tax credit are based mostly, which might considerably cut back deductible and out-of-pocket prices for households of all incomes. Lastly, the invoice would additionally enhance the worth of cost-sharing discount (CSR) help for folks with revenue between 100 and 250 p.c of FPL (who’re already eligible), whereas additionally increasing eligibility for CSR help to folks with revenue as much as 400 p.c of FPL.
In line with the newest information, practically 15.9 million Individuals have signed up for 2023 particular person market medical insurance protection by the Marketplaces for the reason that begin of the 2023 Market Open Enrollment. That record-breaking enrollment represents a 13% enhance over final yr and is pushed by the improved tax credit first proposed by the Shaheen laws and finally prolonged by theInflation Discount Act. In line with a June 2022 report from the Division of Well being and Human Companies, absent the improved tax credit, 8.9 million Individuals stood to have their tax credit lowered and 1.5 million would lose their subsidies completely. Equally, a February 2021 City Institute evaluation of modifications included on this laws signifies that this invoice might considerably cut back out-of-pocket prices for shoppers newly eligible for CSR help or heightened ranges of CSR help by decrease deductibles.
Along with Senator Shaheen, the invoice is cosponsored by US Senators Richard Blumenthal (D-CT), Tammy Baldwin (D-WI), Bob Casey (D-PA), Tim Kaine (D-VA), Amy Klobuchar (D- MN), Jack Reed (D-RI), Tina Smith (D-MN), Debbie Stabenow (D-MI), Catherine Cortez Masto (D-NV), Maggie Hassan (D-NH), Ben Cardin (D-MD ), Michael Bennett (D-CO) and Kirsten Gillibrand (D-NY).
Full textual content of the invoice is accessible right here.