CT Senator, Health Care Advocate Push For Action On Health Insurance Costs

by Donald Eng

HARTFORD, CT — Just days after the special subsidies included in the Affordable Care Act expired, State Healthcare Advocate Kathleen Holt already is seeing the effect on people’s day-to-day lives, she said.

“We all know people impacted by Congressional failure to extend the enhanced premium tax credits on the Affordable Care Act plans,” she said. “I’m having some repair work done at my house. My 59-year-old electrician’s wife has chronic illnesses. Their Affordable Care Act insurance premiums tripled last week.”

In addition, she said, the plumber working on her house, who is undergoing chemotherapy, saw his premium skyrocket. And the person who cuts her hair saw her premiums jump, too, Holt said.

“These are hardworking, small business owners who don’t honestly know how they will make ends meet,” she said. 

Holt joined Sen. Richard Blumenthal, D-CT, and Connecticut Citizen Action Group Executive Director Tom Swan Monday to call on Congress to take immediate action to lower health care costs after the tax credits used by an estimated 20 million Americans expired last week. As a result, premiums for many have doubled or tripled, or more, Blumenthal said.

Blumenthal acknowledged that Connecticut had taken action to protect the most vulnerable, allocating $70 million to subsidize health care premiums to those with income up to about 400% of the federal poverty line — currently $15,650 for an individual and $32,150 for a four-person household.

“But it only fills part of the gap, and it is a one-shot, one-year stopgap,” he said. “It is no solution to the problem, long term, of health care costs spiraling out of control and insurance becoming unaffordable.”

Holt said the cost increases are forcing people to look for solutions such as workingmore if they are able, or working less and potentially working under the table in an effort to qualify for Medicaid. Or they plan to drain their savings and retirement accounts or increase prices on their work to cover the increase.

Those who do not have ACA plans also will feel the impact, Holt said. Emergency rooms could see increased traffic as uninsured and underinsured people put off preventative care until the need becomes acute.

Insurance premiums for everyone also will likely rise at an accelerated rate as health people go uninsured, removing themselves from the risk pool, she said.

Blumenthal said getting a vote on extending the subsidies would be the Democrats’ highest priority when Congress returns to work Monday. Republicans, who control both houses of Congress, have floated the idea of direct Health Savings Account (HSA) payments as a lower cost alternative to the subsidies, possibly with a one- or two-year extension to give people time to adjust to the lower level of government support. Blumenthal said he was open to some compromise.

“I am always open to offers of compromise that are realistic,” he said. “But they have to extend the subsidies that are vital to affording health care insurance. Even if it’s for a shorter period of time. Even if it’s for a definite period of a year, two years. We need to stop the cost of health care spiraling out of control for everyday Americans.”