Marketplace Enrollment Numbers Fall Short of CBO Projections
The opinion of many experts that the PPACAs enrollment estimates were too high was confirmed by the Congressional Budget Office (CBO) who now say that they expect enrollment in Obamacare qualified health plans to reach approximately 13 million, by the end of 2016. This is a far cry from the projected 20 million enrollees expected by 2016. Approximately 85% of the 13 million are expected to receive a tax credit to help offset the cost of their coverage.
Although the first open enrollment period in 2013 attracted many uninsured, the majority were older and less healthy people. The system is still struggling with attracting younger, healthier individuals to offset costs. It remains to be seen if the fine for being uninsured that increased from $325 to $695 this year will have a big effect on enrollment.
For the first time in history, cost to the government for federal health insurance programs including PPACA tax credits, Medicare, and Medicaid exceeded the amount paid out by the government to Social Security beneficiaries, according to the CBO. Annual tax credits for PPACA enrollees alone are expected to top $56 billion this year.
A complete update on the CBOs Baseline Report will be available in March 2016.
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