Proposals to expand the use of Health Savings Accounts (HSAs) have been raised repeatedly in the health care debate. This new issue brief looks at how expanding HSAs would impact the affordability of health care coverage for low and moderate income older adults by examining how HSAs would have functioned under one proposal, the Better Care Reconciliation Act (BCRA), had it become law.
The paper finds that the combination of HSA contributions and premium costs can easily reach 20% to 30% of an older adult’s income. It concludes that HSAs are not a path to affordable health care for older adults. Read the brief.
The revised Senate health care bill brings an idea that should be a hard sell for the over 3 million older adults and people with disabilities who rely on Medicaid for in-home care. On top of a massive almost $800 billion cut to Medicaid that guarantees shrunken programs and eliminated services, the Senate bill kills CFC and replaces it with an inferior version that provides fewer services for a limited time only.
1. The AHCA Guts Medicaid: The AHCA would drastically change Medicaid and harm older adults by cutting over $800 billion in federal funding, eliminating Medicaid expansion for adults ages 55 – 64, and weakening beneficiary protections. Under the AHCA, older adults and people with disabilities who rely on Medicaid would have fewer benefits and services, reduced access to home and community-based services, and receive less help paying for Medicare premiums or cost-sharing. States would be forced to make other cuts to Medicaid and other safety net programs as they will not have adequate funding to meet the needs of their aging populations. Read More
The Affordable Care Act (ACA) is under immediate threat in Congress. The consequences of repealing the ACA are far reaching, and would impact the entire health care system including Medicare and Medicaid. For older adults, these programs serve as a lifeline that insures access to critical medical care. Repeal of the ACA would jeopardize the care seniors receive every day by reducing coverage, and ending programs seniors rely on to remain in their homes and communities. The out-of-pocket costs seniors pay today for care would increase, straining already tight budgets.
This webinar, How ACA Repeal would Hurt Seniors, provided a summary of the impact an ACA repeal would have on low-income older adults, including how it would affect seniors who rely on Medicaid and Medicare. We also provided an update on the efforts Congress is taking to effectuate a repeal and what procedural steps are yet to come.