DENVER (KDVR) — Enhanced Premium Tax Credits are a big sticking point for negotiations on Capitol Hill to get the federal government back up and running.
Enhanced Premium Tax Credits help to lower the cost of health insurance for people on individual plans, but the state’s Insurance Commissioner said that without them, everyone will feel the impacts.
“Unfortunately, the Democrats have painted their line in the sand as being they want more money for illegal immigrant healthcare and they do not like funds for things like securing the border right now,” said Congressman Gabe Evans.
Colorado Insurance Commissioner Mike Conway said members of Congress making the health insurance debate on Capitol Hill about illegal immigration are wrong.
“The increases that we are talking about they are going to impact the ACA [Affordable Care Act] market, so the individual market,” said Conway. “Undocumented Coloradans or undocumented people throughout the country aren’t eligible for tax credits. So the tax credits going away, it’s just going to impact people in the individual market. So, the average everyday American. It’s going to really hit middle-class Americans exceptionally hard. Those are the people that really going to feel that 175% average premium increase.”
Middle-class Coloradans like Aubrey Hix of Northglenn.
“I’m a contributing member of society, I pay my taxes, I happen to be choosing an entrepreneurial path which is a bit of the American dream. So I’m doing all the things I’ve been told I’m supposed to do and there’s been this amazing thing, the Affordable Care Act, that allows me to get insurance and see the doctors I’ve always seen,” said Hix. “Another thousand dollars a month if I round up a little bit, that’s 12,000 more dollars in potential medical bills next year if I just do the same stuff I’ve been doing. I don’t know who has that money.
“And again, for anybody who thinks, ‘Oh, that’s not affecting anybody I know, or it wouldn’t affect me.’ I’m a well-educated person who tries to stay up on things, and I didn’t realize this was coming until last week,” Hix said.
She said she is frustrated about the ongoing fight in Washington, D.C., but she is hopeful they can reach an agreement.
“As a person who this is going to directly affect, I’m grateful that someone is trying to make sure this premium doesn’t increase 300%. I’m very disappointed but I hope our representatives can come to a conclusion,” Hix said.
Conway said the impacts will be greater for people outside the metro area, and could be more far-reaching if there is no compromise.
“If the Enhanced Premium Tax Credits go away, on average on the Front Range, people will see for a family of four a $13,000 increase for the entire year, so that’s about a $1,000 a month, obviously. In more rural parts of the state, we would be talking about a $25,000 premium increase so that would be about $2,000 a month,” said Conway.
“Coloradans losing access to healthcare coverage, they are still going to get sick. They are going to still end up in the hospital. Those uncompensated healthcare costs are going to pass through to the rest of the market but everyone is going to see their premiums increase and it’s going to start happening next year,” Conway added.
The tax credits are set to run out at the end of the year, but leaders are hoping to get a solution on them before open enrollment season.
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