- On October 12, the Trump administration announced it would stop making cost-sharing reduction payments to insurers, because it lacked a constitutionally valid appropriation to do so—an action that restores Congress’ “power of the purse.”
- While some have proposed that Congress should appropriate funds for the payments, such action would effectively reward insurers’ prior risky behavior—assuming cost-sharing reductions would continue to be paid, even after a federal judge struck them down as unconstitutional—thereby perpetuating moral hazard.
- A better course of action is repealing the undermining regulations surrounding Obamacare, which necessitated the unconstitutional cost-sharing reduction payments to insurers in the first place.
TrumpRx is a Game-Changer, Texas Can Go Even Further
President Trump’s TrumpRx initiative is a game-changer in the fight to lower prescription drug prices for everyday Americans. For far too long, prescription medication costs have been obscenely high, not because of the true cost of research and manufacturing, but because of a tangled web of insurance plans, middlemen, and opaque price-setting that enriches gatekeepers...