Managed Healthcare Executive January 16, 2024
States can use federal money that would otherwise support ACA marketplace premium tax credits to set up programs that offer health insurance to low-income people whose incomes are too high to make them eligible for Medicaid.
Under the Affordable Care Act (ACA) states have the option to create their Basic Health Programs (BHPs) that will cover people with incomes up to 200% of the federal poverty level. To pay for the program, the federal government pays the states 95% of funds it would have otherwise paid out in premium tax credits if the people who enroll in the BHP would have purchased an ACA marketplace plan. The intended purpose of the BHPs was to further reduce the number of people...