Obamacare rates set to rise sharply, depending on Trump administration decision
Affordable Care Act health insurance rates may jump in Michigan next year, depending on a decision by the Trump administration.
The Trump administration has threatened to end Cost Sharing Reduction payments. The federal government offers those subsidies to offset the cost of insurance policies that cover low income residents.
State insurance officials say Michiganders buying health insurance through the marketplace will see rates rise between 16% and 59% next year.
The average 28% premium increase across 10 insurers doesn't factor in federal tax credits that about 80 percent of customers receive to offset the cost.
“If we receive a commitment that the CSR payments will be made,” says Andrea Miller, spokesperson for the Department of Insurance and Financial Services, “the (DIFS) director has said he is hopeful insurers will be allowed to change to the lower set of rates that they provided this summer.”
More than 300,000 Michiganders get health insurance through the ACA.
Open enrollment begins in November.