AHCA & Iowa Hospitals
On May 4, 2017, the United States House of Representatives voted to pass the American Health Care Act (AHCA) — which would repeal/replace most of the Affordable Care Act — by a narrow margin of 217 to 213, sending the bill to the Senate for deliberation. The Senate, however, has indicated it will write its own version of the bill rather than voting on the current AHCA passed by the House, which gives the public time to share their own opinions about the bill as it stands today with elected officials if they choose to do so.
Learn more about this legislation and analysis of it from the Iowa Hospital Association (IHA).
Quick Facts
Below are some facts to assist you if you choose to reach out to legislators to communicate your position on the bill.
- According to the Congressional Budget Office, AHCA is expected to increase the number of uninsured by 14 million in 2018 (compared to current law) and 24 million by 2026.
- The plan could allow insurance companies to charge more for individuals with pre-existing conditions (like diabetes and cancer) due to their high risk, which could mean unaffordable premiums for millions, especially vulnerable populations including older Americans and those with disabilities.
- Insurance companies could charge older people up to five times as much as younger people.
- States could apply for waivers exempting insurance companies from an essential health benefits requirement, which may result in loss of coverage for important services like maternity care.
- Insurance companies may be able to place annual and lifetime limits on individual coverage.
In addition, hospitals could face significant losses, putting patient services at risk.
- As part of the ACA, hospitals agreed to absorb $155 billion in Medicare and Medicaid reimbursement reductions with the understanding that more individuals would have access to insurance to help cover costs. The AHCA plan (as it stands today) would not reinstate hospital reimbursements rates prior to ACA, which would create substantial financial hardship when combined with the possibility of millions of uninsured Americans.
- IHA reports the plan could result in millions of dollars in lost revenue over a multi-year period for hospitals, placing additional pressures on an already strained system.
Mercy CEO on Impact of AHCA on Iowans Covered by Medicaid
Iowa hospital leaders are concerned about what the American Health Care Act (AHCA) could mean for thousands of Iowans covered by Medicaid as well as for the future of their own hospitals and communities. A group of hospital leaders, including Mercy president and CEO, Tim Charles, gathered in Cedar Rapids on June 7, 2017, to talk about the potential impact of AHCA. Here are Tim Charles' comments:
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