Maine health insurers say the individual premium hikes they requested this year will cover President Donald Trump’s decision to eliminate federal reimbursement of a key subsidy.

The Portland Press Herald reports that Maine’s two remaining providers of individual health insurance said they won’t drop out of the marketplace due to the Republican president’s move. The subsidy will cost $7 billion this year and goes to companies for lowering out-of-pocket costs for more than 6 million low- and middle income customers.

Anthem recently exited Maine’s individual marketplace.

The state Bureau of Insurance says the average premium increase in Maine for individual buyers of mid-tier “silver” policies in 2018 will be nearly 50 percent. Community Health Options President and CEO Kevin Lewis says that increase is largely due to the expected subsidy elimination.



filed under: