TN GOP can't halt Medicaid expansion
A new
The plan – part of President
The proposal has the same aim and impact as Medicaid expansion but would not actually expand TennCare in any way. Instead, it would cover the same low-income population while sidestepping the primary obstacle preventing Medicaid expansion in
"It takes them completely out of the picture. It's the federal government using federal funds to subsidize health insurance," said
If the Biden proposal survives a divided
But the transformation would be temporary. Biden's proposal funds the new insurance subsidies for only four years. To extend the subsidies beyond 2025, Biden or his successor would need to secure more funding through a new law.
What is the TennCare 'coverage gap?'
TennCare, which is jointly funded by the federal and state government, provides health insurance to about one-fifth of Tennesseans, including many children, pregnant people, disabled adults and families who live at or below the poverty line.
But because
This leaves no affordable insurance option for individuals who make less than
This is where the Biden plan kicks in.
The new federal subsidies would cover the entire Obamacare premiums for Tennesseans who live below the poverty line and aren't eligible for TennCare or some other form of subsidized health insurance. It is estimated that about 120,000 Tennesseans fall into this gap, according to legislative analyses from the
For people impacted by this law, the subsidized Obamacare coverage would appear largely similar to the low-cost insurance they could have received through Medicaid expansion. Insurance would ultimately come from the same companies, like
To a person on the receiving end of this coverage, the most significant difference would be how you sign up. Instead of joining TennCare under Medicaid expansion, enrollees will instead need to purchase a subsidized insurance plan through Healthcare.gov.
But beyond this small caveat, the proposal brings renewed optimism to efforts to insure the poor in
"They are completely removed from this," Pellegrin said. "It is 100% a workaround."
Medicaid expansion, made possible under the Affordable Care Act in 2014, allowed states to grow their Medicaid programs to cover millions of low-income residents who were not previously eligible and unlikely to have insurance. Under the terms of the law, the federal government covered 90% of the cost of insuring these new enrollees.
Most states seized the opportunity to expand Medicaid while a minority rejected expansion, citing cost concerns or political objections to Obamacare in general. Additional states expanded years later due to political shifts or voter initiatives, and today there are just 12 non-expansion states – all of which are controlled by
Despite research showing expansion would benefit the poor and rural hospitals, and public polling that most Tennesseans support expansion, the state's Republican supermajority have trounced every proposal to expand TennCare – even attempts from within their own party.
Former Gov.
The debate was briefly revived after the election of Biden, who campaigned on a promise to improve Obamacare and woo non-expansion states to finally expand. Biden's strategy was clear: offer a deal so sweet that no state could turn it down.
It didn't work.
In a coronavirus relief law passed early this year, Biden offered to pay billions to hold-out states if they finally decided to expand.
None of the other non-expansion states took Biden's offer either.
Biden's proposal must get through
While the Biden proposal completely sidesteps the state lawmakers in
The expanded subsidies are part of a
For now, fate of the proposal appears to hinge on a familiar thorn in Biden's side – Sen.
Manchin, a centrist Democrat from
"For states that held out to be rewarded 100% is not fair," he said.
Other
The status quo is not fair to them, Warnock argued. The same argument could be made for Tennesseans.
"People of
The
What launched probe of Hertel & Brown?
pandemic travel Travel insurance nightmare: $38,000 medical bill rejected
Advisor News
Annuity News
Health/Employee Benefits News
Life Insurance News