Health insurance premiums are likely to skyrocket as a result of President Trump’s announcementlast week that his administration will halt subsidies for insurers that cover lower-income individuals and families. But while the president’s decision appears to have been designed to disrupt the Affordable Care Act exchanges, states now have an opportunity to restore order to their insurance markets.
Specifically, states can step in to make the subsidy payments themselves — and then turn around and sue the federal government for reimbursement. The law is on their side, and while it might take months or years, the states are highly likely to be repaid in full, plus interest. In the meantime, the backstop provided by the states will encourage insurers to stay on the exchanges rather than rushing to the exits.
Read more at The Washington Post