Exclusive: Schumer presses insurers on ACA subsidies
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Schumer (speaks to reporters at the Capitol Wednesday. Photo: Kevin Dietsch/Getty Images
Senate Democratic Leader Chuck Schumer is pressing health insurers to warn their enrollees about the upcoming end of Affordable Care Act financial assistance that was expanded during the pandemic.
Why it matters: The letter, shared first with Axios, is part of a growing pressure campaign as Democrats push Republicans to extend the enhanced ACA tax credits that are expiring at the end of the year.
What they're saying: "Individuals and families need clear, direct information from their health plans as soon as possible about their rising premiums and cost-sharing requirements, and worsening coverage," Schumer writes in the letter to health plans, which is also signed by Sens. Ron Wyden (D-Ore.) and Bernie Sanders (I-Vt.).
- The senators call for the information to be sent "as early and directly as possible," adding, "Under these dire circumstances, annual premium notices set to be released in October will not come soon enough."
The big picture: Backers of renewing the enhanced subsidies are hoping that as more enrollees become aware of the situation, political pressure will build on Republicans to agree to an extension.
- Some Republicans are open to an extension, but they're also worried about the projected $335 billion cost over 10 years. Plus, a lot of Republicans argue the subsidies are just a handout to insurance companies.
- Congress could have a chance to extend the subsidies in a government funding bill that needs to pass by Sept. 30 to prevent a shutdown.
- But given that lawmakers could decide to do a short-term punt on funding, it's possible the ACA subsidy issue will wait until a second funding vehicle later this year.
- The senators also ask the insurers to provide Congress with information on how the expiring subsidies would affect people's health insurance premiums, as well as the mix of healthy and sick people the insurers cover.
