The White House has announced that it will discontinue cost-sharing reduction payments to insurance companies. Fifteen states and the District of Columbia have already sued to block this action.
Under the Affordable Care Act (ACA), individuals with incomes under 250% of the federal poverty level can receive Silver plans on the Exchanges that have reduced deductibles and other forms of cost sharing. The ACA calls for the government to reimburse insurance companies that offer these policies for the reductions in cost sharing.
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