While large numbers of younger, healthier people will save money by either forgoing insurance entirely or buying a cheaper, non-comprehensive plan, those who continue to buy comprehensive insurance policies on the individual market can expect prices to increase.

The group estimates that 5.5 million fewer Americans will be covered by individual health plans as a result of the actions taken by the federal government to undermine the ACA as well as general “confusion” about whether Obamacare is still in place. Indeed, the president has helped sow the confusion by repeatedly boasting that he has effectively repealed the ACA.

The effect differs dramatically between states. In Massachusetts, where STLD plans are prohibited and former Gov. Mitt Romney signed into law a predecessor to the ACA that includes an individual mandate, the Urban Institute projects that health coverage will only drop by 3.3 percent. In West Virginia, however, the group estimates a drop in coverage of nearly 50 percent.

The other states that currently bar STLD plans are Oregon, New Jersey, New York, Vermont, and Washington. Michigan and Nevada have laws in place that restrict STLDs to a certain extent.

In terms of federal spending, the changes present a mixed bag. While the reduced number of people enrolled in ACA plans means the federal government has to provider fewer people with premium tax credits, the government will have to spend more per person for those who remain on ACA plans as a result of the premium increases.

When taking into account all of the policy changes, the group estimates that the federal government will end up spending 9.3 percent more ($33 billion) on healthcare in 2019 than it would have under prior law.

From: BenefitsPro

Instant Insights /

Premiums, Uninsured Going up Under Trump Administration ACA Changes

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