Another day, another threat from the White House to insurance companies

Campaign Action

There’s been a rampant rumor that this was going to be the week that the Trump administration pulled the plug on cost-saving reduction (CSR) payments to insurance companies on Obamacare exchanges. The threats have been coming daily since the Senate failed to pass an Affordable Care Act repeal, and Wednesday is a repeat.

“We said from the very beginning that we would look at that on a month by month basis,” said Office of Management and Budget director Mick Mulvaney on CNN Wednesday. “That has not changed.” […]
However, Mulvaney left open the possibility of ending the subsidies as the White House moves soon to decide on what to do about the CSR payments, which he and the president have called insurance company bailouts.

“The way to fix that is not by bailing out the insurance companies. These cost sharing reduction payments are payments to the insurance

in order to get them to support Obamacare in the first place,” Mulvaney said. “The president’s attitude is fairly simple. If people are suffering, and they are, and they will continue to suffer because we have not repealed or replaced Obamacare, why shouldn’t insurance companies similarly suffer?”

They keep threatening, but they keep not doing it. What gives? Is there actually a grown up somewhere in the administration that recognizes just how disastrous the results would be? Not just for the insurers, for all the people buying in the individual insurance market who would have to pay the resulting higher premiums, but for Trump and the Republicans politically? It happened again, Wednesday.

Leave a Reply