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Risk experts: Trump rules are raising premiums

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Photo by: Jeff Greenberg/UIG via Getty Images

The American Academy of Actuaries reiterated yesterday what so many analyses have found: The Trump administration's regulatory moves on health care are contributing to rising premiums for ACA coverage.

Why it matters: New rules expanding access to sh0rt-term policies and association health plans could result in "market segmentation and adverse selection ... leading to higher premiums," the actuaries said.

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  • And those effects "would be exacerbated given the elimination of the individual mandate penalty," they said.

Yes, but: Premium increases are a reflection of how a particular market performed relative to insurers' expectations. Some companies anticipated a lot of regulatory turmoil when they set their rates for this year; those plans may not need to raise their rates as much next year.

Affordable Care Act