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CBO: New Health Bill Would Create 23 Million Uninsured by 2026

Legislation to repeal and replace the Affordable Care Act would cause significant increases in both uninsured people and health insurance premiums through 2026, according to a new report.
May 31, 2017

Legislation to repeal and replace the Affordable Care Act would cause significant increases in both uninsured people and health insurance premiums through 2026, according to a new report from the Congressional Budget Office (CBO) and the Joint Committee on Taxation (JCT). The report follows House passage of the American Health Care Act (H.R. 1628) earlier this month.

“The provisions of H.R. 1628 dealing with health insurance coverage would reduce the deficit over the 2017-2026 period, on net, by $783 billion; the noncoverage provisions would increase the deficit by $664 billion, mostly by reducing revenues, for a net reduction of $119 billion in the federal deficit over that period,” according to the CBO. The report said cost savings would come from an $884 billion cut in Medicaid as well as reductions in individual insurance subsidies. The CBO figures add credence to observations that tax cuts may be financed by reductions in healthcare benefits.

The CBO says enactment of the American Health Care Act would lead to 14 million more people becoming uninsured next year (2018) than under Obamacare and 23 million more by 2026. Under the new House-passed act the number of people with health insurance would, by CBO and JCT’s estimates, be slightly higher and average premiums for insurance purchased individually—that is, non-group insurance—would be lower than under the previous version of the act. A new Quinnipiac University national poll said American voters disapprove of the House bill by a margin of 57% to 20%.

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