June 30, 2022
  • A new Brookings Institute analysis found that eliminating premiums for low-income Affordable Care Act exchange customers that pay a very small amount a month could boost coverage by 48,000 this year. According to the analysis, even requiring customers to pay even a small amount such as a few dollars a month can lead to enrollment declines because “remitting a premium involves significant cognitive and hassle costs, which can cause enrollees to miss payments — and thus lose coverage — even when a premium imposes a minimal financial burden.” The researchers suggest for policymakers could eliminate these small premium payments by hiking the tax credit up to fully cover an enrollee’s complete premium where they would otherwise owe such a small amount. They could also allow or mandate insurers to waive very small premium payments. (Analysis here)