CBO projects that ObamaCare will cost 20 percent less than expected


On Monday, the nonpartisan Congressional Budget Office released its latest update on the Affordable Care Act, or ObamaCare. The report is mostly good news for supporters of the law. Over the next 10 years, the law will cost the federal government 20 percent less than the last projections, the CBO said, and by the end of President Obama's second term, 24 million fewer Americans will lack health insurance, adding to the 12 million drop in the uninsured so far. That would leave only 8 percent of eligible Americans without insurance by the end of 2016.
Those projection assume that the law will remain essentially the same over the next decade, an expectation that could be upset by the Supreme Court, for instance. The CBO attributed the lower-than-expected costs to "many factors," but primarily "the slowdown in the growth of health care costs" and — to the chagrin of ObamaCare supporters — the Supreme Court–enabled decision by about half the states to forego a federally financed expansion of Medicaid. The projected costs could fall even lower this year, the report said, if premiums drop again, as seems probable.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
Peter has worked as a news and culture writer and editor at The Week since the site's launch in 2008. He covers politics, world affairs, religion and cultural currents. His journalism career began as a copy editor at a financial newswire and has included editorial positions at The New York Times Magazine, Facts on File, and Oregon State University.
-
Sharenting: does covering children's faces on social media protect them?
In The Spotlight Privacy trend has 'trickled down' from celebrity parents but it may not protect your kids
-
Syria's returning refugees
The Explainer Thousands of Syrian refugees are going back to their homeland but conditions there remain extremely challenging
-
Rustle up some fun at these Western hotels and dude ranches
The Week Recommends Six properties that are ready to rope you in
-
Dollar faces historic slump as stocks hit new high
Speed Read While stocks have recovered post-Trump tariffs, the dollar has weakened more than 10% this year
-
Economists fear US inflation data less reliable
speed read The Labor Department is collecting less data for its consumer price index due to staffing shortages
-
Crypto firm Coinbase hacked, faces SEC scrutiny
Speed Read The Securities and Exchange Commission has also been investigating whether Coinbase misstated its user numbers in past disclosures
-
Starbucks baristas strike over dress code
speed read The new uniform 'puts the burden on baristas' to buy new clothes, said a Starbucks Workers United union delegate
-
Warren Buffet announces surprise retirement
speed read At the annual meeting of Berkshire Hathaway, the billionaire investor named Vice Chairman Greg Abel his replacement
-
Trump calls Amazon's Bezos over tariff display
Speed Read The president was not happy with reports that Amazon would list the added cost from tariffs alongside product prices
-
Markets notch worst quarter in years as new tariffs loom
Speed Read The S&P 500 is on track for its worst month since 2022 as investors brace for Trump's tariffs
-
Tesla Cybertrucks recalled over dislodging panels
Speed Read Almost every Cybertruck in the US has been recalled over a stainless steel panel that could fall off