Governor Dayton: Affordable Care Act “No Longer Affordable”

In a reversal from his former support of the Affordable Care Act, Governor Dayton is now saying Obama’s signature program is “no longer affordable.”  

In a press conference this morning, Dayton said, “The reality is the Affordable Care Act is no longer affordable for increasing numbers of people.” The Governor also called upon Congress to find ways fix the ACA to address market stability and rising costs.

 (minnesota.cbslocal.com)

The reversal comes after it was announced that MNsure premiums would see massive increases next year.  Alpha News reported on October 1, 2016, insurance rates under MNsure are set to increase anywhere from 50 – 67 per cent in 2017.

 (Credit: Minnesota Department of Commerce)
(Credit: Minnesota Department of Commerce)

The rate increases were a compromise made by the state and the health insurance companies that threatened to leave MNsure altogether if the rate increases were not approved.  

Commerce Commissioner Mike Rothman said Friday that all of the companies that have been offering individual plans, whether through the state’s MNsure health exchange or directly to consumers, were prepared to leave the market in 2017.

The big rate increases announced Friday were a tradeoff that Rothman said was needed to persuade insurers to remain with MNsure for now, he said. Nonetheless, the preferred provider network of Blue Cross and Blue Shield of Minnesota still opted to leave. Its much smaller HMO affiliate, Blue Plus, will remain.” (Finance & Commerce” Sept. 30, 2016)

Earlier this month, Minnesota Republicans addressed the rate increase news by putting forth solutions to fix the state’s ailing insurance programs, which included tax deductions, creating a “high risk pool,” and allowing Minnesotans to enroll in public healthcare programs through their counties rather than through MNsure.