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Tuesday, Oct 6 2015

Full Issue

Health Law's 'Cadillac Tax,' Risk Corridor Program Draw Scrutiny

In other health law news, a study finds that chronically ill people enrolled in Obamacare plans pay more in out-of-pocket prescription drug costs than do those people who have employer-based coverage.

Five years after the Affordable Care Act became law, debate rages about whether one of its final provisions will do more harm than good. While most of the law's major elements have already taken effect, a final provision — the "Cadillac tax" — looms on the horizon. (Zdechlik, 10/6)

The Obama administration may need the help of congressional Republicans to shore up a risk management program established by the 2010 health care law. The program is already running a $2.5 billion shortfall that may otherwise land on insurers. Sen. Marco Rubio and GOP colleagues, who last December narrowed the administration’s room to maneuver to close the gap in the insurer-funded program, are now seeking to build on that by forcing insurers to adjust prices to reflect costs. (Young, 10/5)

Chronically ill people enrolled in individual health plans sold on the Affordable Care Act insurance exchanges pay on average twice as much out-of-pocket for prescription drugs each year than people covered through their workplace, according to a study published Monday in the Health Affairs journal. Patients with at least one chronic condition such as diabetes or asthma pay on average $621 out–of-pocket for prescription costs on the popular, mid-priced silver exchange plans compared to $304 for those with employer coverage, researchers at Emory University in Atlanta found. (Galewitz, 10/5)

When Jackie McMann-Oliveri started as human-resources director at the Meatball Shop in July 2014, she knew the company had to act quickly to prepare for the requirements of the Affordable Care Act. The six-restaurant chain would shortly be responsible for providing health benefits to even its lowest-wage workers—dishwashers, busers and other kitchen staff. (LaMantia, 10/5)

This is part of the Morning Briefing, a summary of health policy coverage from major news organizations. Sign up for an email subscription.
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