For Immediate Release– July 30, 2018
Contact: Robert Kraig (414) 322-5324 email@example.com
Statewide: Governor Scott Walker is touting the approval by the Trump Administration of his complicated health insurance scheme that does not even begin to make up for the cost of ongoing efforts to sabotage the Affordable Care Act (ACA).
Walker’s complicated scheme called “reinsurance” funnels $200 million in direct public subsidies to insurance companies in the hope that they would lower premiums for some consumers. The proposal does not require that health insurance companies pass on any savings to consumers, and even if they did it would only impact a small percentage of Wisconsinites.
Reinsurance will not help anyone who gets insurance at work or small businesses or most people who buy insurance on their own. Although Governor Walker claims it is focused on people who buy insurance on their own, it will not impact 83% of the Wisconsinites who buy health coverage through the ACA marketplace and receive tax subsidies. Reinsurance will not effect deductibles or copays. It will only modestly help the 17% of enrollees who make too much money to be eligible to federal tax credits.
Walker’s press release touts a 3.5% reduction in premiums for some Wisconsinites who buy insurance on the ACA marketplace, a much lower number then what was claimed when the proposal was introduced. But according to the Urban Institute just two of Donald Trump’s acts of sabotage, refusal to enforce the individual mandate and the extension of short term “lemon” health plans will increase premiums by 18.2%.