Insurance policies obtained through the federal marketplace cover over seven million people in the United States. Cutbacks in out-of-pocket expenses paid for doctor and hospital visits along with prescription drugs are benefiting nearly 60 percent of those insured. Individuals with an income level between $11,700 and $29,300 yearly are considered to be within 100 percent to 250 percent of the poverty level and therefore are eligible for the share-of-cost discounts.
These subsidies, which are seen through tax credits to assist low-income people in paying for insurance, are what the Supreme Court defended in their decision last Thursday. However, the Congressional Budget Office anticipates a cost to our government of $599 billion for premium tax credits and $136 billion in payments to insurance companies for payments to reimburse cost-sharing over the next ten years. These estimated expenditures are the motivation behind the law suit filed on behalf of the House of Representatives by Speaker of the House John A. Boehner.
The implication behind the suit is that appropriations from Congress have not been approved for the Obama administration to make such disbursements. The suit claims an article in the Constitution stating, “No money shall be drawn from the Treasury, but in consequence of appropriations made by law,” is being violated. While President Obama called for the funds to be included in the budget in 2013, Congress had not approved it. With several other lawsuits on different issues pending against the Affordable Care Act, folks at Boraie Development know much more debate is yet to be seen.