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The Guardians of Democracy

The Trump Administration’s Own Data Contradicts Trump’s Claim That Obamacare Is Imploding

ECONOMY

The Trump Administration’s Own Data Contradicts Trump’s Claim That Obamacare Is Imploding





President Trump and other top Republicans have claimed repeatedly that Obamacare must be repealed and replaced immediately because it is failing and is in a so-called “death spiral.”

However, The Centers for Medicare and Medicaid Services, which is part of Trump’s Department of Health and Human Services, released a report last week which provided evidence that the health insurance marketplaces set up by Obamacare were relatively stable in 2016.

Five-Thirty-Eight notes: “Contrary to the ‘death-spiral’ narrative, the CMS report found that the mix of healthy and sick people buying insurance on the Obamacare marketplaces in 2016 was surprisingly similar to those who enrolled in 2015.”

A new analysis of health insurers’ financial data by the Kaiser Family Foundation also appears to directly contradict Republican claims about the dire state of Obamacare, finding that the Affordable Care Act markets are “stabilizing” and insurers are regaining profitability.




“Early results from 2017 suggest the individual market is stabilizing and insurers in this market are regaining profitability,” the study finds. “Insurer financial results show no sign of a market collapse.”

The analysis revealed that Insurers’ financial results have improved since the initial couple of years of the healthcare law.

It found that insurers in the first quarter of this year paid out 75 percent of their premiums in claims, a dramatic improvement from the first quarter of 2015, when 88 percent of premiums were paid out for claims.

The Hill adds:

Average claims costs also grew slowly in the first part of this year, pushing back on fears that healthy people would drop coverage.

“It does not appear that the enrollees today are noticeably sicker” than they were last year, the Kaiser report finds.

There are still some headwinds for Obamacare markets, including a few areas of the country that could have no insurers offering coverage next year.

Insurers have often blamed uncertainty from the Trump administration, for example on whether it will make key payments known as cost-sharing reductions, on the need to drop out or raise premiums.

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