Enrollment in ACA exchanges less than half initial forecast

As of March, just 11.1 million Americans were enrolled in the insurance exchanges for the Affordable Care Act. That's less than half the initial forecast from the Congressional Budget Office, which predicted 24 million people would buy health coverage through the federally and state-operated online exchanges by this year, reports The Washington Post.

A key reason ACA exchange sign-ups fell so short of projections is the CBO overestimated how many people would lose insurance through their employers, which would force them into the exchanges, according to the article.

But the article also notes challenges in getting the uninsured to enroll. For instance, Americans under the ACA are required to get health coverage or face penalty, which, for 2016, is $695 or 2.5 percent of the person's income — whichever is higher. However, the penalty hasn't been high enough to persuade many Americans to buy into the health plans, reports The Washington Post.

Enrollment plays a pivotal role in the ACA, as the success of the health law depends on whether exchanges are profitable for insurers. As the fourth annual open enrollment period nears, federal officials plan to use a new advertising campaign to boost sign-ups.

 

More articles on healthcare finance:

A state-by-state breakdown of 76 rural hospital closures
35 NJ hospitals sued over tax-exempt status
Presence Health closes on $1B bond sale

Copyright © 2024 Becker's Healthcare. All Rights Reserved. Privacy Policy. Cookie Policy. Linking and Reprinting Policy.

 

Featured Whitepapers

Featured Webinars