President-elect Trump has staked out a vision for health care. The president-elect promises to repeal and replace the Affordable Care Act (ACA), hand over Medicaid reigns to state officials and allow individuals to deduct health insurance premiums from taxes, among others. Click here to read his one-pager. For further elaboration, click here for the Trump campaign’s 4-pager. Congressional Republicans have also provided their healthcare roadmap (click here for the 37-page report), which mirrors many of Trump’s priorities.
The scope of ACA replacement legislation is difficult to predict, but President-elect Trump’s high-level campaign proposals and more detailed proposals from House and Senate Republicans point to some common themes:
- Providing tax-favorable treatment for individual-market health insurance premiums
- Expanding Health Savings Accounts and Consumer Directed Health Plans
- Continuing to prohibit pre-existing condition exclusions or rating based on health status
- Creating high-risk pools for costly patients
- Permitting the sale of health insurance across state lines
- Funding Medicaid through per capita payments or block grants
Major changes to the health care sector are going to be considered and debated in the coming months. Given Republican control of the Congress and Presidency, we anticipate that some changes will be enacted affecting major segments of the health care industry. To learn more about these potential changes, please click here (link to H&K memo).