News

Key Senator Predicts Obamacare Repeal in 2017

Dave Flessner

11/11/2016

Nov. 11--U.S. Sen. Lamar Alexander, the chairman of a key Senate health committee, said he expects Obamacare to be repealed next year with Republicans controlling both the White House and Congress.

In a speech to the Chattanooga Rotary Club Thursday, Alexander called the premium rate increases by insurers offering individual policies under the health exchange plans in Tennessee an "Obamacare emergency," and he said the Affordable Care Act adopted in 2010 is not sustainable without major reforms.

Repealing and replacing Obamacare with a more competitive and less costly alternative should finally gain the political support for passage in 2017.

"A Republican president, working with a Republican Congress, could reduce Washington's involvement in our lives and solve some of the problems that were the source of voters' frustration," Alexander said. "I think American voters expect that President-elect Trump and Congress will get to work quickly on fixing the Obamacare emergency -- providing immediate relief to Tennesseans paying 44 to 62 percent more in health insurance premiums."

Alexander said states and individuals should have more freedom and flexibility with their health care options.

In the first three years of the health exchange plans under Obamacare, Chattanooga-based BlueCross BlueShield estimates it has lost about $500 million, prompting the insurer to limit coverage next year in Tennessee's three biggest cities and raising premiums for 2017 by an average of 62 percent for its remaining policies under the Affordable Care Act.

Backers of Obamacare said most of those increased costs are covered by government subsidies created to encourage more working low- and moderate-income persons to buy health insurance.

The U.S. Department of Health and Human Services, the federal agency that runs Obamacare, is urging persons not to be discouraged from signing up for Obamacare plans during the current enrollment period.

"We continue to execute a robust outreach strategy with partners across the nation to let Americans know affordable coverage is available and that they should enroll by Dec. 15th for coverage that starts Jan. 1," HHS Press Secretary Marjorie Connolly said Thursday. "We're encouraging anyone who might need coverage for 2017 to visit healthcare.gov to check out their options--most can find a plan for $75 or less per month."

But Alexander noted that in 73 of Tennessee's 95 counties there is only one insurer offering health exchange policies.

"The Obamacare exchanges are collapsing in Tennessee and across the country because of federal mandates, a lack of flexibility for states and fewer choices for families," he said.

Alexander said the lack of consensus in Congress about the health care measure caused much of its problems. Obamacare was approved in 2010 when Democrats controlled both the House and Senate and it was adopted without a single GOP vote.

Alexander said meaningful legislation needs to be bipartisan, but he expects it will take until next year under a new president for Obamacare to be revamped.

But while the ambitious government health insurance plan may be scaled back next year, Alexander hopes Congress will soon act on a 21st century cures legislation to provide more money for the National Institutes of Health.

Alexander said during the lame duck session of congress that starts next week he hopes the Senate will adopt the measure already approved by the House, which would provide $10 billion over five years for health care research and new initiatives and would implement changes to the U.S. Food and Drug Administration approval process.