Are ACA subsidies done

[street]

Please no political comments but just wondering since a CA judge ruled that subsidies are illegal a few weeks back. Does this mean that subsidies are done and the Gov. aren't reimbursing the HIC anymore? I can't seem to find what is going to happen now or are they still going to be paid for the two years congress was working on?

Thanks

 

[VanWinkle]

Cost sharing subsidies are what is being debated. Not the premium subsidies. The cost sharing will be shouldered by the Insurance companies for now as the ACA law requires the cost sharing for certain incomes no matter who is reimbursed.

 

[street]

Okay, that does clear up my misunderstanding of what is going on. The more I read and try to understand this mess the more I get confused.

That still does mean that there won't be an increase in my premiums is that correct? I still haven't got anything from my HIC telling me what the increase will be and what changes my policy will be. I will make an appt. tomorrow with HIC. I thank you so much for the help.

 

[ziggy29]

That still does mean that there won't be an increase in my premiums is that correct? I still haven't got anything from my HIC telling me what the increase will be and what changes my policy will be. I will make an appt. tomorrow with HIC. I thank you so much for the help.

For those receiving premium subsidies there will be little or no impact on premiums because of the questions and tug-of-war over the subsidies for insurance companies. It's a shell game, really -- the insurers can increase their premiums to compensate for the possible loss of *their* subsidy, but all that will do is increase *your* subsidy to account for it since the ACA caps what you have to pay.

Those who are not receiving premium subsidy, though, may face severe sticker shock.

 

[Senator]

From what I understand, it was payment to INSURANCE companies, not INDIVIDUALS. The Judge did not rule the subsidies were illegal, just did not block the elimination of them.

 

[VanWinkle]

From what I understand, it was payment to INSURANCE companies, not INDIVIDUALS. The Judge did not rule the subsidies were illegal, just did not block the elimination of them.

You are correct- the government was paying the Insurance companies as a reimbursement for the deductible/out of pocket reductions for certain income brkts. The judge indicated that he would not block the government action to not reimburse the insurance companies. Insurance companies just raised their rates to compensate for the lack of the government payments.

BTW I retired at almost the same date as you, 07-06-2016 was my last paid day although I had been off since May 13 2016. Best to you.

VW

 

[street]

Thank you for the explaining that for me. As much time as I spent reading and listing to news articles about this it was never explained clearly enough for people to understand.

Thanks all of you.

 

[Dawg52]

Those who are not receiving premium subsidy, though, may face severe sticker shock.

I took a peek just for grins and the lowest premium through ACA would be $1k/mo for me. Guess I will stick with my $450 individual policy. Twenty more months before medicare kicks in......not that I'm counting the months.