
Insurers got some good news, bad news this week on cost-sharing reduction payments.
The lawsuit over CSR funding has been delayed for another 90 days based on a request by House Republicans and the Trump Administration. This means the payments continue, for now.
But it also gives insurers no guarantee over future funding as they face a June 21 federal deadline to decide whether to remain in the Affordable Care Act marketplace, and at what price to set premiums.
Insurers use the CSRs to help lower deductibles and out-of-pocket costs for low-income consumers who buy plans on the exchanges. Without CSRs, insurers would need to raise premiums for 2018 by double digits.
In a recent letter to Senate leaders urging for continuation of the payments, America's Health Insurance Plans and other organizations estimated that premiums could rise by as much as 60 percent.
[Also: AHIP, AHA, others urge Senate to take action on CSR funding]
Democratic Leader Nancy Pelosi warned of a 19 percent increase.
"At a critical period when insurers are deciding premiums for next year, Republicans are pouring uncertainty into the health insurance marketplaces," Pelosi said by statement. "If Republicans allow their cynical lawsuit to cut off the cost sharing reduction payments, they will be directly responsible for increasing premium costs for consumers by 19 percent, causing some insurers to withdraw from rural counties, and increasing costs for taxpayers by billions of dollars."
[Also: Fifteen states ask to intervene in CSR payment appeal over cost-sharing reduction payments]
The lawsuit over the payments, House v. Price, was originally brought in 2014 by House Republican leaders as House v. Burwell. The Republicans argued and won their case that the CSR funding in the ACA was never approved by Congress.
President Obama appealed. It's now a lawsuit involving the Republicans against President Trump.
The case is on hold, with the U.S. Court of Appeals asking for status updates every 90 days, as the GOP comes up with a healthcare bill to replace the ACA.
On Monday, the day of the 90-day status conference, both sides asked for another 90-day extension. However, the president could pull the CSR funding at any time.
[Also: High-risk pools will cost three to five times the amount in AHCA funding]
There is no funding for CSRs in the GOP's American Health Care Act or in the president's budget released Tuesday.
Twitter: @SusanJMorse