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122,000 Alabamians could lose health coverage if ACA is overturned, study finds

President Donald Trump’s administration and 18 states, including Alabama, are asking the country’s highest court to strike down the law. 

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At least 122,000 Alabamians and 21.1 million in the U.S. overall would lose health coverage if the U.S. Supreme Court strikes down the Affordable Care Act, according to a recent study. 

The Washington D.C.-based think tank Urban Institute’s analysis found that Alabama’s uninsured rate would increase by 25 percent if the court strikes down the Affordable Care Act. Oral arguments in a case against the landmark health care law are to begin on Nov. 10.  

President Donald Trump’s administration and 18 states, including Alabama, are asking the country’s highest court to strike down the entire ACA. 

Trump, speaking to CBS News’s Lesley Stahl in a recent interview, said he would like the Supreme Court to end the ACA. There’s concern among many that Trump’s pick to replace the late Justice Ruth Bader Ginsburg on the court, conservative Judge Amy Coney Barrett, could be a deciding factor in the repeal of the ACA when the Supreme Court hears the case just after the Nov. 3 election.

“I hope that they end it. It’ll be so good if they end it,” Trump told Stahl.

“Repealing the ACA would throw our health care system into chaos in the middle of a pandemic and a deep recession,” Alabama Arise executive director Robyn Hyden said in a statement. “Tens of thousands of Alabamians would lose health coverage when they need it most. And hundreds of thousands would pay more for coverage or lose protections for their preexisting conditions.”

Health care coverage losses could be even larger next year, as the COVID-19 pandemic and recession likely still will be ongoing, according to the study. 

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“The ACA has been a health lifeline for many Alabamians during the pandemic,” Hyden said. “It provides coverage options for people who have lost their jobs or seen sharp reductions in their income. And it ensures people aren’t denied insurance just because they got sick.”

Ending the ACA would also reverse gains made in reducing racial disparities in health care coverage, researchers in the study found, noting that overturning the ACA would strip health coverage from nearly one in 10 Black and Latino Americans under age 65, and more than one in 10 Native Americans nationwide would lose health insurance. 

People with pre-existing conditions would be charged higher insurance rates, or have their coverage dropped altogether, if the ACA is struck down, according to the study, which also found that the law’s repeal would harm people who have health insurance through their jobs. 

Those who have health insurance from an employer could see their plans reintroduce annual and lifetime coverage limits, and requirements for plans to cover essential benefits and provide free preventive services would disappear, according to the study, as would the requirement for insurers to allow young adults to be covered through their parents’ plans.

While millions would lose health care if the law is repealed, the country’s top earners would receive tax cuts, according to a study by the Center on Budget and Policy Priorities, which found that the highest-income 0.1 percent of households, which earn more than $3 million annually, would receive tax cuts averaging about $198,000 per year. 

“A portion of these tax cuts — about $10 billion per year — would come at the direct expense of the Medicare Trust Fund, since the additional Medicare tax the ACA instituted for couples with earnings over $250,000 flows to the fund,” the Center of Budget and Policy Priority study reads. 

Pharmaceutical companies would pay $2.8 billion less in taxes each year, according to the study, while millions of seniors would pay billions more for prescription drugs due to the gap in Medicare’s prescription drug benefit if the ACA is repealed. 

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“The ACA has left Alabama better equipped to fight COVID-19 and rebuild our economy after the recession,” Hyden said. “And those benefits would be even greater if Alabama would adopt Medicaid expansion.

“Striking down the ACA would harm the Alabamians who have suffered the most during the pandemic and the recession. It would deprive our state of the opportunity to save lives and strengthen our health care system by expanding Medicaid,” Hyden continued. “And it would shower huge tax cuts on rich people while making life harder for everyone else. Alabama officials should stop seeking to undermine the ACA and start investing in a healthier future for our entire state.”

Eddie Burkhalter
Written By

Eddie Burkhalter is a reporter at the Alabama Political Reporter. You can email him at [email protected] or reach him via Twitter.

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