Connecticut expects Inflation Reduction Act might mitigate Obamacare premium hikes
Connecticut residents might not see their medical costs go up next year. This is despite double-digit rate hikes that were approved for 2023 plans offered on the state’s healthcare exchange.
Governor Ned Lamont said most people on the exchange will not have to pay more out-of-pocket costs because the Biden administration’s Inflation Reduction Act extends federal subsidies on Obamacare premiums for another three years.
“With significant subsidies we get from the Inflation Reduction Act very few people, very few will be paying that amount of an increase. And those are only for those who are only for the very small business and individuals on the exchange,” Lamont said.
Last week, the state insurance department approved 2023 premium hikes that average nearly 13% for individual plans and almost 8% for small group plans.
In New York, state regulators have approved a nearly 10% rate hike for health care plans in the individual and small group markets. New England states, like Vermont and Rhode Island, plan to approve health insurance increases around 11%, while Maine will see its first reduction in two-decades.