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Governors: Immediate action required to stabilize health insurance marketplaces

Today the National Governors Association (NGA) Health and Human Services Committee, led by Virginia Gov. Terry McAuliffe and Massachusetts Gov. Charlie Baker, released the following statement on cost-sharing reductions (CSRs) within individual health insurance marketplaces:

healthcare“The Administration has the opportunity to stabilize the health insurance market across our nation and ensure that our residents can continue to access affordable health care coverage. A first critical step in stabilizing the individual health insurance marketplaces is to fully fund CSRs for the remainder of calendar year 2017 through 2018. This is a necessary step to stabilize the individual marketplaces in the short term as Congress and the Administration address long-term reform efforts.

Already many states have seen significant reductions in insurer participation in their individual insurance markets, in addition to large increases in premiums. This month insurers across the country must decide whether to participate in the individual marketplaces and finalize their rates for 2018. The uncertainty surrounding CSR payments is resulting in significantly higher premiums for consumers in many parts of the country and insurers exiting the marketplace altogether.

Governors have been working in a bipartisan manner to address health reform through NGA. Earlier this spring, NGA sent a letter on behalf of the nation’s governors calling on Congress to act in a similar bipartisan fashion to fully fund CSRs and bring short-term stability to the individual marketplace.

It is critically important to provide insurers and states with certainty that CSRs will be funded. Governors urge immediate action to stabilize the individual marketplace, protect consumers from rising premiums and prevent additional insurers from exiting the market.”

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