CBO: ACA premiums to jump 15 percent in 2019

ACA premiums are expected to rise an average of 15 percent next year, according to new federal analysis (Source: “CBO: ObamaCare premiums to rise 15 percent in 2019,” The Hill, May 23, 2018).

The increase is largely due to the GOP’s repeal of the law's individual mandate, according to a Congressional Budget Office (CBO) analysis released Wednesday.

The CBO estimates that gutting the requirement that Americans have health insurance or face a tax penalty will contribute to about a 10 percent rise in premiums for 2019, with insurers expected to see healthier people dropping out of the marketplaces, leaving sicker enrollees on the plans.

The nonpartisan agency attributed the rest of the expected increase to rising health-care costs and the lack of insurers receiving a key ACA payment compensating them for subsidizing out-of-pocket costs for certain enrollees.

The price hikes don’t affect the majority of people with ACA plans, as Americans with lower incomes receive federal subsidies to help cover their insurance.