Montpelier, Vt. – Governor Phil Scott today announced that the federal Inflation Reduction Act will help mitigate rising health care costs for many Vermonters, particularly those on Medicare and who buy health plans on Vermont’s health insurance marketplace. The Act is expected to be signed into federal law by the President this week.
“The pandemic and inflation have both stressed the health care system and increased the costs of care,” said Governor Scott. “While this federal legislation will help us fight back against these rising costs, my Administration is also committed to working with the Legislature and health care providers to stabilize the system, make cost increases affordable and sustainable, and reduce the percentage of Vermonters’ income spent on health care so they can get ahead.”
The Act also includes key initiatives to control rising prescription drug costs, which will cap out-of-pocket costs for Vermonters. Starting in 2025, Vermonters who are on Medicare – including most of Vermont’s senior citizens over the age of 65 – will not pay more than $2,000 per year for prescription drugs. Beginning in 2023, they will not pay more than $35 per month for insulin, a medication used to treat diabetes.
In addition, Vermonters who are covered by Medicare or Medicaid can receive all recommended adult vaccines for free beginning next year.
“This federal legislation will help seniors afford the prescriptions vital to their health and well-being and will increase subsidies for Vermonters of all ages who buy insurance plans through Vermont’s health insurance marketplace. This should offset most of the recently announced premium increases, which will help stabilize our health care system,” added Governor Scott.
Young adults are traditionally the most likely to be uninsured, often due to their risk tolerance and insurance costs. The Vermont Household Health Insurance Survey estimates the number of uninsured Vermonters aged 25-34 fell 10% from fall of 2018 to fall of 2021, resulting, in part, from additional federal dollars reducing the cost of insurance for Vermonters. The Act extends these federal dollars to help eligible Vermonters pay for health insurance premiums through 2025.
Subsidies currently help about 23,550 Vermonters who purchase insurance through Vermont’s health insurance marketplace, Vermont Health Connect. Vermonters saved nearly triple the national average through premium assistance, according to a September 2021 report by the Center for Consumer Information and Insurance Oversight. Vermonters who enrolled in the first year that subsidies were available saw their premiums decrease by $186 per month, or 62%.
“We can be proud that Vermont has among the highest rates of insured people in the nation,” said Jenney Samuelson, secretary of the Vermont Agency of Human Services. “It is vital that Vermonters keep their health coverage while we work to stabilize our health care system, a top priority as we emerge from the pandemic.”
“In partnership with other states, Vermont urged Congress to extend subsidies beyond their current planned expiration at the end of this year to help Vermonters continue to afford health insurance,” said Andrea De La Bruere, commissioner of the Department of Vermont Health Access. “Affordable health premiums are a cornerstone of access to health care.”
These subsidies have already infused more than $30 million dollars to lower health insurance premiums for Vermonters across a wide range of income levels. For example, an individual earning $25,000 could have their entire premium subsidized. Families with higher incomes could see an 80% discount on their plan.
ABOUT THE INFLATION REDUCTION ACT
The Inflation Reduction Act (H.R. 5376), passed by Congress and expected to be signed by President Biden this week, includes a series of measures aimed at reducing cost pressures on Americans, including through prescription drug reform, health care subsidies, tax rebates and credits for energy costs, and more. Click here to view more details at www.congress.gov.
We are living with a government that hates middle class americans…
We are living with the worst inflation ever and this does nothing to reduce gas prices, food prices, heating oil or propane prices.
We are heading into winter with fuel prices that will steal every penny from people on fixed incomes.
This bill only adds to the inflation while throwing crumbs at the elderly and hard-working taxpayers as an attempt to buy votes.
Somebody is going to get rich on the taxpayers dime.
It is hard to believe this is still going on in America. I just read this:
When she’s not with her baby or at work, Brittany Smick is hunting for formula. But not just any formula. It has to be Enfamil Gentlease, the only brand her 4-month-old can digest.
If she’s lucky, the Barre resident finds cans at the Berlin Walmart. She has also driven as far as Lebanon, New Hampshire, an hour away, in search of formula. She’s asked relatives in other states to be on the lookout too.
Otherwise, Smick crowdsources leads on Facebook. The primary group for local parents in need, “Helping VT Parents Find
This is such a good deal for the hard working taxpayers that instead of hiring 87,000 border patrol agents to stop the invasion on our southern border we are going to be policed by 87,000 ARMED IRS agents prepared to use DEADLY FORCE.
This bloated bill is reinforcing the police state that we are suffering under.
It does nothing to reduce this high inflation that is destroying the middle class.
Where is all of the taxpayers hard earned money going?
Right into the pockets of corrupt politicians!
Money printed out of thin air = inflation + socialism and ending in communism.
Shame on all of these morons who vote for putting future generations deeper into debt. There are some healthcare cost savings that I talked about when I ran for governor which no one wants to learn about. People are being forced to buy policies with such high deductibles that makes them useless in most cases or pay a penalty. Instead of making changes to the program the federal government lowers the premium at taxpayer expense of course and the politicians claim they care about the people.
Forcing big pharma to lower prescription prices is a nice touch but apparently it will be over 2 years before it the cost of prescriptions is capped but only for those on Medicare. Who ends up making up the difference? The democrat party is one giant clown show putting forth a vote buying bill with a very few good provisions it seems but mostly those are used to waste billions.
I for one will never vote democrat again.
Pompeo was right…Scott’s compromised.
Malevolent!
Great Scott!!!
We’re already well on the way to bankruptcy, courtesy of the State Employees’ Pension Fund. How many $Billion is that in the can for? I’ve lost track.
Vermont can’t afford much more debt, with the interest rates going up on the outstanding amounts, hmmm, now just suppose the paper holders on this debt call in the cows? Bankruptcy City, folks!
James B…..States are not allowed to declare bankruptcy…..only Cities can.. I wish there was a betting market to wager this: “Which will be the first State in the USA to ask for a Federal bailout?”
I vote VT….. Calif, MA, CT, IL, NJ are in worse shape of “total unfunded” dollars/debt….but their tax paying populations are very large & diverse. VT runs about $5 billion deficit but only about 343,000 people are employed..and even at that, average household income is $57,000. ….343,000 people w/ houshold income of $57,000 cannot cover over $5 billion deficit and growing.
One more scary statistic? 1957 is PEAK BABY BOOM YEAR….and it is right now, 2022, when they are turning 65. I know many who could not retire till 65, so they get full pensions or more important….Medicare coverage for health. I bet a BUNCH of VT State, Municipal and Teachers are retiring this year…draining even MORE pension assets. !
Competition brings down cost to consumers, motivates increased efficiency. Reallocating the economic burden neither reduces cost nor does it motivate efficiency. About one out of fifteen American citizens is, in some way, employed by some sector of government. Increasing taxes extracts productive capital from the private sector and slows cash flow, stalling the economy. Taxes upon this (slowing) cash flow fund the government where most of the revenue is wasted, e.g. Solyndra type enterprises, subsidies on products unattractive to the commons, to the people, at real cost. Well over half of the new spending: The Green money hole. Buttigieg proposes a five billion dollar (or is it seven?) taxpayer funded nationwide electric charging station network. That’s government competing with private enterprise. It’s Progressive, as in Fascist. And it’s not how we got nationwide gas stations, Pete.
Ole’ Phil has his blinders on…again. This bogus bill is NOT an “Inflation Reduction Act”….the total bill passed was $750 billion. And WHERE is most of the money going? Of course… the usual bogus CLIMATE CHANGE.:
“The plan includes a record $369 billion in spending on climate and energy policies….”
HEY PHIL…what could $369 billion accomplish for real healthcare reform and education? 50% OF THIS BILL IS A TOTAL SCAM – that will debt up America beyond our already $31 TRILLION of debt. Fess up Phil….to the TRUTH 🙂
No, the Inflation Reduction Act (IRA) will not ‘mitigate’ healthcare costs. It simply reallocates those costs to the taxpayers paying for this legislation. A more likely scenario is that healthcare costs will increase because demand increases. As with any subsidized service, be it low-income housing, education, food (EBT), or healthcare – service providers raise their prices to meet the subsidized demand.
What Governor Scott can’t seem to understand is that the more government tries to ‘help’ folks in this way, the worse their circumstance becomes. The people who benefit most are the ones who provide the services. And they’re the ones lobbying (bribing) our politicians.
You’re going to bankrupt us, Governor. Gradually, then suddenly. And then you’ll blame anyone and everyone who has criticized you. This Orwellian 1984 word-soup isn’t hypocrisy. It’s idiocy.
Well, he voted for the idiot titular head in charge. This is to make his decision look good, so good that not one republican voted for it in the Senate. Unfortunately, the moon bats who support all this debt for climate change BS will hear this on WCAX and applaud the Gov. and Joe for a job well done. The current debt is just over $33,000,000,000,000.00 (33 trillion) strapped to every man, woman and child in the USA. Reall sounds like an inflation buster, not.