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Democratic AGs Likely to Sue If Trump Cuts Off Obamacare Subsidies

Image: Democratic AGs Likely to Sue If Trump Cuts Off Obamacare Subsidies
(AP)

By    |   Thursday, 03 Aug 2017 08:25 AM

Lawsuits by Democratic attorneys general are likely to result if President Donald Trump cuts off subsidies to insurers for Obamacare's cost-sharing reductions, Axios is reporting.

"If the Trump administration attempts to stop paying these subsidies, we will challenge them in court," said New York Attorney General Eric Schneiderman.

If the president does cut off the subsidies, insurers would dramatically increase premiums and leave some markets, the website noted, and legal experts said the first step for the attorneys general would be to get a court order to force the Trump administration to keep paying the subsidies while the situation goes through the courts.

Schneiderman said he and fellow Democratic attorneys general won the right to participate in a case that's already in the works, but they might file a new lawsuit, according to Axios.

However, some officials told Politico the subsidies could remain in place indefinitely.  

The Trump administration is waiting to hear from lawyers about how they could stop the subsidies and what legal consequences they could face if they do so, administration officials told Politico.

And the website notes insurers depend on the subsidies, which are estimated at $7 billion for this year, to keep costs down for users of Obamacare that have low incomes.

Some Republicans also are pushing the administration to keep the subsidies.

"I don't think anybody ought to do anything to hurt the American people. Obamacare is not working. Until we can get the thing fixed, I think we have to try to maintain the status quo," said Sen. John Kennedy, R-La., according to Politico.

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Lawsuits by Democratic attorneys general are likely to result if President Donald Trump cuts off subsidies to insurers for Obamacare's cost-sharing reductions, Axios is reporting.
democrats, attorney general, sue, trump, obamacare, subsidies
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2017-25-03
Thursday, 03 Aug 2017 08:25 AM
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