GOP Starts Floating ACA Replacement Goals

Last week, House Republicans announced their healthcare plan that would be the replacement for the Affordable Care Act (ACA), which is commonly known as Obamacare. In a recent article by Andie Burjek that appeared on, it was reported that the 19-page document released by the House of Representatives was made up of a list of goals rather than stating specific details about the GOP proposed ACA replacement.

While the proposed plan would eliminate any tax penalties for both consumers and employers, it does phase out Medicare expansion, encourage buying healthcare across state lines and expands what are known as health savings accounts or HAS’s. Conspicuously absent is wording that indicates whether or not those with pre-existing conditions would be guaranteed coverage or how many people who currently have insurance may lose it under the new proposed guidelines.

According to Mike Thompson, CEO and President of the National Alliance of Healthcare Purchaser Coalitions, these changes are from top to bottom and are geared toward a more market-based agenda that is tax-driven as opposed to one that is driven by subsidies to states and individuals.

Also being discussed in the projected ACA replacement plans is the expansion of HSAs. So far, it is expected that these would make HSAs easier to use and could potentially raise the maximum amount of contributions that could be made to an HSA.  However, raising those limits may not increase the amount of contributions made to HSAs or their increased use.  Thompson says that more employers have been hoping for increased flexibility with issues which tend to surround the use of HAS’s. Time will tell if this will be the case.

“This is a down payment to longer term reforms,” Thompson said. “There’s every expectation that broader reforms may come in phase 2,” he added.

There is no doubt there are constant questions that you and your employees have regarding current and upcoming healthcare laws. Benefits are extremely important to your workers and their families.  Employees that are secure in knowing that their healthcare needs are being addressed in the best way possible are much happier and tend to stay longer.

While the ACA or any proposed replacement by the Trump administration can seem both confusing and frustrating, you can be assured that NetPEO stays informed and will keep our clients informed so that your organization is both covered and will be current and compliant with any insurance requirements at the federal and state level.

NetPEO offers a complete range of services which includes payroll, management of employee benefits, healthcare benefits management, liability management for employers, brokerage services, and employee leasing.   Contact us today to discuss the needs of your company.  We offer a free assessment and are more than happy to answer all of your questions regarding all of your HR needs.