In "Insurance CEO: Mandate repeal would be 'death knell'," Axios talked to L.A. Care CEO John Baackes about the latest effort to repeal the Affordable Care Act's individual mandate.
"It's the death knell, to me, for the individual market," says Baackes, who's also on the board of industry lobbying group America's Health Insurance Plans. The market would essentially be whittled down to the sickest and lowest-income consumers.
His company would continue to sell health insurance on the exchange, but he says he would not be surprised if there was an exodus of most other plans. In some states, this would create marketplaces with no options. And that's when the problems could reach a tipping point.
"If there's no plan available in those exchanges, there's no vehicle for tax credits," Baackes said.
About L.A. Care Health Plan
L.A. Care Health Plan is a public entity and community-accountable health plan serving residents of Los Angeles County through a variety of health coverage programs including L.A. Care Covered™, Medi-Cal, L.A. Care Cal MediConnect Plan and PASC-SEIU Homecare Workers Health Care Plan. L.A. Care is a leader in developing new programs through innovative partnerships designed to provide health coverage to vulnerable populations and to support the safety net. With more than 2 million members, L.A. Care is the nation’s largest publicly operated health plan.