Trump administration slashes funds for health care sign-ups
Advertising will be cut from
Funding for consumer helpers called "navigators" will also be cut about 40 percent, from
About 12.2 million people signed up for subsidized private health insurance under
Trump and congressional
Independent observers say the ACA's insurance markets have problems, but are not on the verge of collapse. For next year all
HHS officials announced the promotional cutbacks in a conference call with reporters. None of the three officials who described the details of the cuts wanted to be identified by name.
The administration says the government hasn't gotten much bang for its buck as far as ACA advertising and the navigator program, with some enrollment centers signing up very few customers.
By comparison, HHS said the combined advertising budget for
HHS officials said the 98 navigator programs funded by the ACA enrolled fewer than 82,000 people, or less than 1 percent of the total. Navigator staffers are supposed to guide consumers through the sometimes complicated enrollment process, which involves estimating income for the coming year, proving citizenship or legal residence, and sorting through various health plan options.
For next year, officials said navigator funding will reflect each sign-up center's prior performance. For example, if a navigator program met 70 percent of its enrollment target, it will get 70 percent of its previous funding. If it only enrolled 30 percent, its funding will be cut to 30 percent. However, every center will get some money from the government, even if it's only a few thousand dollars.
"Judging effectiveness by the amount of money spent, and not the results achieved, is irresponsible and unhelpful to the American people," HHS spokeswoman
HHS said only 1 in 5 navigators met their own performance goals. Officials said 17 programs enrolled fewer than 100 people each, although they did not identify whether those programs were in urban areas or less populated rural zones. One program got
Adding to sign-up challenges, the ACA enrollment season will be considerably shorter for 2018, running from


The Latest: US agency investigating chemical plant fires
Advisor News
- Help women break through their retirement roadblocks
- Advisors await SEC decision on Vanguard fair fund distribution
- What to do when adult children become the client
- Judge rules insurers not liable for Newport Group’s AME Church pension lawsuit
- Why vacation homes are becoming a major blind spot for advisors
More Advisor NewsAnnuity News
- Best’s Market Segment Report: Global Life/Annuity Reinsurers Remained Poised for Steady Growth
- When technology becomes easy to rent, what still separates life and annuity carriers?
- Legacy Marketing Group® and Malibu Life USA Announce Distribution Partnership for New Fixed Indexed Annuity Platform
- Empower Annuity Insurance Company of America Trademark Application for “EMPOWER WHAT’S NEXT” Filed: Empower Annuity Insurance Company of America
- Industry pushes back on linking ‘financial strength’ to annuity illustrations
More Annuity NewsHealth/Employee Benefits News
Life Insurance News
- AM Best Affirms Credit Ratings of Crum & Forster Insurance Group’s Members and Monitor Life Insurance Company of New York
- AM Best Affirms Credit Ratings of Life Insurance Company Centras Life JSC
- AM Best Withdraws Credit Ratings of New Providence Life Insurance Company
- When technology becomes easy to rent, what still separates life and annuity carriers?
- St. Paul & Minnesota Foundation invests $15M to help revive downtown St. Paul
More Life Insurance News