Published: Sat, October 14, 2017
Worldwide | By Isabel Fisher

15 states sue over Trump-halted ObamaCare payments

15 states sue over Trump-halted ObamaCare payments

New York Governor Andrew Cuomo has lashed at President Trump's executive order to slash subsidies to Americans for Affordable Care Act insurance purchase and the state's Attorney General Eric T. Schneiderman plans to sue the administration.

Becerra's office is joined by the attorneys general of Kentucky, Massachusetts and CT in the lawsuit.

Attorneys general from California, Connecticut, Kentucky, Massachusetts, and NY have said they plan to sue the Trump administration in order to keep money flowing to their states.

Becerra, joined by attorneys general from Kentucky, Connecticut, Massachusetts characterized the move by Trump as cruel and reckless maneuver to "sabotage" Obamacare. "Massive subsidy payments to their pet insurance companies has stopped". "It's long past time that President Trump learned that he doesn't get to just pick and choose which laws he'll follow, and which bills he'll pay". The Obama administration appealed and continued making the payments, which cost an estimated $7 billion per year. Becerra said Friday it is unclear whether the two lawsuits will be consolidated.

Yesterday, President Donald Trump signed an executive order halting cost-sharing reduction payments meant to help low-income Americans get healthcare. "Long term, we must go forward and join almost every other major country by guaranteeing health care as a right through a Medicare-for-all program".

In a statement confirming the administration's plans to drop cost sharing subsidies, White House Press Secretary Sarah Huckabee Sanders called the CSR payments "the bailout of insurance companies through unlawful payments".

Ending federal payments would cause premiums to rise, unless Trump changes his mind or Congress takes separate action to authorize the money.

Gen. Xavier Becerra said the decision to cease federal payments to health insurers that provide coverage undermines the Affordable Care Act and could result in up to 20% increases in costs, putting healthcare out of reach for millions of families.

"Millions will lose access to affordable health care, plunging ACA markets into chaos and risking insurance even for those who don't require assistance", Harris said in a statement. Short term, Congress must work to improve the Affordable Care to lower costs, insure more people and reduce the price of prescription drugs.

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