Experts Say Repealing of “Obamacare” Could Drive Medicare to Bankruptcy

by San Antonio Attorney

Congressional Republicans are dealing with an increasing pressure to preserve important elements of the Obamacare or Affordable Care Act while they proceed with their actions in January 2017on special budget bill to revoke President Obama’s health insurance decree.

Incoming President Donald Trump, for example, has mentioned he agrees with maintaining a couple of very popular measures, which are allowing parents to include their kids on their health insurance up until they are 26 years old and prohibiting insurance companies from singling out against persons with pre-existing health issues.

Senate Finance and certain Senate Republicans are pushing the GOP headship to maintain other vital provisions – such as subsidies on insurance tax for low income citizens and expanded coverage of Medicaid for the underprivileged.

Kaiser Family Foundation, an American non-profit organization that provides national health policy analysis, said a complete repeal of the Obamacare would have a terrible financial blow on the Medicare program for senior citizens, because it would quash the development made in decelerating the spending growth for Medicare Part A on hospital care and speed up the predictable long-term liquidation of the trust fund, based on the organizations recent report.

The Obamacare law enacted in 2010 included many provisions involving the Medicare program and also the 57 million senior citizens and persons with disabilities who rely on the program. The law significantly slowed the increase in Medicare payments for health care and the Medicare Advantage HMO plan.

The Affordable Care Act also rationalized and improved the hospital payment and provision system, increased premiums for higher-income policy holders, and raised new income allocated to the Medicare program. Those proceeds originated from 0.9% earnings from higher-income workers and a charge on the importers and makers of branded drugs.

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