We’ve spoken how the Inflation Reduction Act (sic) includes many provisions that were started when the pandemic hit; in this case, an increased subsidy for those signing up for the Affordable Care Act. Had the Inflation Reduction Act not been passed, those folks would have seen a tremendous increase in the costs of their health insurance. And, with the public health emergency declaration, the ability to enroll in Medicaid was enhanced (and now continued)- so much so that 88 million folks are so enrolled (a 17% increase since the start of the pandemic in February 2020).
Add to that the 15 million folks using the enhanced subsidies to obtain coverage under the Affordable Care Act and you can see that there are some 30 million more folks covered by health insurance now. For folks living in the 33 states using HealthCare.gov (the Affordable Care Act marketplace), this means that there won’t be a 53% rise in premiums (about $ 700 a year or more). That benefit also applies to those states that run their own healthcare exchange.
But, it’s not just citizens getting a benefit from these subsidies. It’s the insurance companies, who now have another three years of paying customers. Two such beneficiaries are Elevance and Centene. (These two entities provide insurance to folks who are using the Medicaid extension of the Affordable Care Act.) Centene is the largest provider of Medicaid insurance in the US; the pandemic allowed it to augment its revenue from $ 60 billion to more than $ 125 billion last year. (This revenue will now continue, with the extension of the pandemic subsidies for three more years- as long as the public health emergency [the pandemic] is not rescinded by President Biden..)
And, then, of course there are the community hospitals that benefit. Because they no longer have large numbers of folks for whom they must provide uncompensated care. (That also keeps the costs of all of our health insurance down.)
One of the IMMEDIATE benefits to the Inflation Reduction Act.
