Affordable Care Act Replacement Proposed

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The package discards the mandate for health insurance and instead offers tax incentives designed to encourage Americans to get health insurance coverage.
The package discards the mandate for health insurance and instead offers tax incentives designed to encourage Americans to get health insurance coverage.

(HealthDay News) — An initial Republican replacement for the Affordable Care Act was formally introduced in the House of Representatives on Monday.

The proposed package discards the mandate for health insurance and instead offers tax incentives designed to encourage Americans to get health insurance coverage, The New York Times reported. The bill does propose preserving two of the most popular elements of the health care reform law: There would still be safeguards for people with pre-existing medical conditions, and young adults would still be able to stay on their parent's health insurance plans until the age of 26. Fines on people who choose not to buy health insurance would be eliminated.

The package would change premium subsidies in a way that may not provide as much assistance to people with low incomes, the Associated Press reported. As for Medicaid, the expansion of the health insurance program for the poor would continue until 2020, after which states adding Medicaid recipients would no longer receive the additional federal funds President Barack Obama's law would have provided. At the same time, the plan changes Medicaid funding from open-ended federal financing to a limit based on enrollment and costs in each state.

Preliminary voting on the proposal will begin in House committees on Wednesday, the Associated Press reported. The Senate has yet to offer its version of a replacement plan.

Reference

  1. Trump praises health care bill, but conservatives skeptical [press release]. Associated Press. March 7, 2017. 
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