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Morning Briefing

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Monday, Jun 22 2015

Full Issue

Politics Of Subsidies Challenge Is 'Tricky' For Republican Candidates

If the justices strike down Obamacare's insurance subsidies for 6.4 million people, the GOP presidential hopefuls would face a dilemma over how to respond. It gets even more complicated for the four governors considering a run, since tens of thousands of people in their states would lose coverage. Ohio Gov. John Kasich is already on the defensive about his state's Medicaid expansion.

The pressing problem for the 2016 Republican field falls into the dog catches car category: Its one thing to call for the Affordable Care Act to be repealed or to promise an Oval Office signing ceremony for its repeal. Its another to endorse pulling insurance subsidies used by more than 6 million people in 34 states, including at least 1.3 million Florida residents. A ruling that subsidies provided to consumers to help them purchase health insurance are not legal could spark chaos in the insurance marketplace and help shape the electoral landscape in several key swing states. Beyond those voters directly affected, many more could see their premiums increase if the law unravels, driving up the number of uninsured. (Zezima and Sun, 6/20)

A Supreme Court decision eliminating Obamacare subsidies in 34 states would pose an immediate challenge to the four sitting Republican governors eyeing presidential bids, as tens of thousands of people in their states could swiftly lose their health plans. Louisianas Bobby Jindal, Wisconsins Scott Walker, New Jerseys Chris Christie and Ohios John Kasich all refused to set up Obamacare exchanges, as did most other GOP governors. Their states would be directly affected if the court rules that the health laws subsidies can only go to people living in states that did establish the new online Obamacare markets. (Pradhan and Demko, 6/21)

The Republicans running for president have practically made careers out of skewering Obamacare so when Ohio Gov. John Kasich makes his expected entry into the race, hes likely to have a giant Obamacare target on his back. Kasich says he is no fan of the presidents health care law. But he fought his own party to implement one of its core components and is now gearing up to face GOP primary voters who want to rip the health law to shreds. His decision two years ago to embrace Obamacares expansion of Medicaid to provide health coverage to low-income adults a move that offered bipartisan cover to the White House during a tumultuous period is likely to dog him in Iowa and New Hampshire. (Pradhan and Cheney, 6/20)

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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