House approves $1.9 trillion rescue plan, which now goes before Biden for his signature

The U.S. House of Representatives has given final approval to the $1.9 trillion American Rescue Plan, sending it to President Joe Biden for his signature.

The relief package strengthens the Affordable Care Act by making coverage more affordable for the next two years. It removes the income cap in 2021 and 2022 for health insurance premium subsidies, or tax credits through the federal and state exchanges. Those who get health insurance through the ACA would pay an amount limited to 8.5% of their income.

This expands who qualifies for the financial help. The bill also forgives amounts due by taxpayers who received too much in subsidies in 2020.

The $1.9 trillion COVID-19 relief package received House approval on Wednesday.

WHY THIS MATTERS

Rural providers get $8.5 billion through the provider relief fund passed last year.

However, hospitals were not thrown another lifeline, though the American Hospital Association asked for $35 billion in assistance.

THE LARGER TREND
 
The bill spends $34 billion to help Americans buy insurance in the ACA marketplace. The Congressional Budget Office has estimated that an additional 1.7 million people will enroll in the exchanges, with 1.3 million of them currently uninsured.

ON THE RECORD

America's Health Insurance Plans applauded passage.
 
"Improving affordability of individual market coverage by expanding eligibility and reducing premiums is essential to ensuring more Americans have the protection that health insurance coverage provides," said Matt Eyles, president and CEO of AHIP. "Fully covering the cost of COBRA premiums during these challenging economic times is precisely the kind of timely, targeted, and temporary action Americans support and need during the pandemic, offering them greater health security and added financial stability when they need it most."
 

Twitter: @SusanJMorse
Email the writer: susan.morse@himssmedia.com