New Trump Options for Escaping ACA Can Lower Cost of Care, Not Just Cost of Coverage – AAPS | Association of American Physicians and Surgeons

The Department of Labor has finalized a rule allowing more options outside of the failing and exorbitantly priced “Affordable Care Act” plans for some 15 million Americans who are self-employed, their 25 million employees, and millions more family members.The ruling would allow these individuals greater flexibility to band together in Association Health Plans (AHPs). “AHPs are about more choice, more access, and more coverage,” explained Department of Labor Secretary Alexander Acosta following the release of the rule.It is estimated that by 2022 AHP-run plans would cost $8,700 to $10,800 less per person per year than individual market plans, according to an Avalere study.Reducing premium cost isn’t the only potential advantage for participants in AHPs. “To maximize the impact AHPs can have on lowering costs, the plans should shun arrangements with big insurance, and self-fund instead,” stated the Association of American Physicians and Surgeons (AAPS).Cutting out the middlemen from the patient-doctor relationship means dollars are more likely to be spent on actual care instead of, for example, preauthorizations, utilization review, appealing claims denials, and other administrative tasks imposed by third-party payers.

Source: New Trump Options for Escaping ACA Can Lower Cost of Care, Not Just Cost of Coverage – AAPS | Association of American Physicians and Surgeons