Republican's AHCA healthcare reform bill fails in the House of Representatives, a significant early set back for the Trump administration.

1. FOYper spective
Exper tise. Ser vice. T r u st.
PET ER C. FOY & ASSO CI AT ES
I N SU RAN CE SERVICES I N CO RPO RAT ED
Advisor s ? Br oker s ? Con su ltan ts
In T his Issue...
- No D eal on Repeal
- H ow did it happen?
- W hat does it m ean?
N o D eal on Repeal
Seven years and a day after President Obama signed the Affordable Care Act
into law, and after an equal number of years of vociferous campaigning
against the ACA by the Republican party, the GOP?s repeal and replacement
bill, the American Health Care Act (AHCA), died on the floor of the House of
Representatives this afternoon with nothing more than a quiet whimper.
Republicans, whose conservative and moderate wings have been united for
years against the ACA, were torn apart by inter-party conflict over the size and
scope of the replacement component of the AHCA. Speaker Paul Ryan, after
conferring with President Trump following a week filled with political theater,
pulled the bill from consideration in the House this afternoon. House GOP
leadership and President Trump campaigned behind the scenes deep into the
night on Thursday, in an effort to muster addition support for the bill, even
postponing a vote earlier in the week in an effort to drum up a few more votes.
In the end, support simply was not there for the flawed replacement bill,
which did not adequately address the concerns of the House?s conservative
Freedom Caucus over cost and essential health benefits, nor establishment
Republicans?concerns over reduced access to care for their constituents.
H ow did it h appen ?
Many Republicans, particularly those in the more conservative corners of the
Republican conference, represent states and districts that have seen their
uninsured populations take full advantage of the ACA?s Medicaid expansion
and exchange marketplaces. This has led to a House GOP coalition whose
stated goals of replacing the ACA stood juxtaposed with the real world impact
of repeal in their home districts. Without a more compelling reform
replacement bill, Republicans, faced with the prospect of voting for a bill that
would fulfill a long term campaign promise, but lead to massive disruption of
their constituents healthcare back home, elected to let the bill die in the
House.
W h at does it m ean ?
The ACA, in all its parts, remains the law of the land for the foreseeable future.
President Trump, in an interview with the Washington Post, signaled his
intention to move on to other parts of his administration?s agenda, leaving the
door open to revisit the replacement of the ACA in the future.
Many insurers have pulled out of the individual coverage markets due to
substantial financial losses and significant market instability. There are five
states served by only a single insurer in their respective individual exchanges.
March 2017
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2. Exper tise. Ser vice. T r u st.
Br oker s ? Con su ltan ts ? Advisor sW h at does it m ean ?(con tin u ed)
Two of the nation?s largest insurers, UnitedHealthcare and Aetna, have signaled their intent to further pull back
from their involvement in the individual exchanges. Many industry experts feel it is only a matter of time
before some sort of ACA ?fix?is back on the agenda, with hopefully a more creative fix for the problems that ail
our healthcare system.
Regardless if Congress?future fix is an extensive tear down and rebuild, a remodeling, or a simple cosmetic fix,
one thing is clear, there is a lot of work to be done to craft a law that truly reforms the cost and access issues
that plague our healthcare system.
Best regards,
Jared Foy
Director of Compliance
Peter C. Foy & Associates
818-703-8057
jared@pcfoy.com
FOYperspective March 2017
PET ER C. FOY & ASSO CI AT ES
Advisor s ? Br oker s ? Con su ltan tsFOY