Gov. Maura Healey said Thursday that the state is spending an additional $250 million to limit premium increases for residents who have insurance through the Massachusetts Health Connector.
After Congress let Affordable Care Act tax credits expire at the end of last year, more than 300,000 people in Massachusetts have been facing a potentially steep increase in their health care bills.
The governor’s office said those enrolled in ConnectorCare who make below 400% of the of the federal poverty level, which is $62,600 for an individual or $128,600 for a family of four, will see “little to no premium increases.”
Under the plan, Healey’s office said a 45-year-old couple with two kids in Fall River will see their monthly health insurance costs rise from $166 to $206. Without the new funding, the governor says they would be paying $452 a month.
“While President Trump continues to increase health care costs, we are taking the strongest action in the nation to address them and keep costs as low as possible for families,” Healey said in a statement. “Despite this increased state investment, far too many people will still see their premiums increase because of the White House.”
The U.S. House of Representatives is set to approve a three-year extension of the health care tax credits. While it appears unlikely to pass the Senate, senators have talked about a compromise plan that could include a two-year extension with added reforms. President Trump hasn’t offered a specific health care plan, but said subsidies going to insurance companies should “go to the people” instead.
The $250 million is coming from the Commonwealth Care Trust Fund, which gets its money from employer medical assistance contributions and financial penalties from residents who violate the state’s health care insurance mandate.
Massachusetts residents can sign up for health insurance coverage or switch their Health Connector plans until Jan. 23 if they want to be covered by Feb. 1.