Urban Institute Releases Health Care Reform Plan to Build on the ACA

May 18, 2018

The Urban Institute issued a health care proposal that The Washington Post editorial board says “would get the nation to near-universal health-care coverage and relieve many of the financial burdens some people face under the current system—and cost the federal treasury far less than more radical plans.”

How it would work: The plan would leave in place Medicare and the employer-sponsored health care system but would create a new health care marketplace called Healthy America for most everyone else—i.e., those buying insurance on the individual market and those covered by Medicaid and the Children’s Health Insurance Program.

How would it affect employers? The proposal would eliminate penalties for employers who do not offer coverage, which would, in turn, encourage some employees to seek coverage instead from the Healthy America program.  There would be no “firewall” prohibiting workers with offers of employer-provided insurance from obtaining financial assistance in the Healthy America program.