Trump Plan to Extend Subsidies Sparks Debate Over Healthcare Reforms

Rep. Greg Murphy, R-N.C., said that news of the Trump administration’s plan to extend Obamacare subsidy is a welcome development but emphasized the need for serious cost-cutting reforms in the health insurance sector. He mentioned that Obamacare was written by insurance companies for insurance company and that it exploded, leading to temporary COVID relief expanding policies which are now due to expire. The draft plan under the Trump administration would cap Obamacare subsidy eligibility at 700% of federal poverty level, with the White House considering requiring every enrollee to pay something toward their coverage, ending zero-premium plans during the pandemic. Republicans argue that a minimum contribution of 2% of income or $5 a month for lower-tier plans is needed to crack down on fraud and restore accountability. Murphy pointed to falling insurance-company stock prices and rising premiums as proof the current system is under pressure, stating they need to bolster their stock and profits by raising premium. While extending subsidy is a good part of what’s happening, he emphasized the need to work concurrently on lowering healthcare costs in the country. He warned that the left wants more insurance-company profits pushing towards a single-payer system, and unless immediate action is taken, it will blow up in our face if we did not do something in the short term to push these subsidy. Murphy told Salcedo he supports the extension of subsidy as a near-term fix, stating “I’m glad the president’s working towards this. We have to do something.”