The Supreme Court’s decision to uphold most of President Obama’s healthcare law made the law less expensive but will result in 3 million more people without health insurance, the Congressional Budget Office (CBO) said Tuesday.
The report from the nonpartisan budget scorekeeper was the first estimate of the law’s cost since last month’s court ruling, which held that the states must be permitted to opt out of the law’s Medicaid expansion.
CBO said the federal government would save roughly $84 billion due to the Medicaid change, though low-income people in the states that opt out might find it harder to afford insurance.
The scorekeeper also said that repealing the law, as Republicans have proposed, would increase federal deficits by $109 billion in 10 years.
“CBO exposed the president’s partisan health law for what it is: a massive expansion of government paid for with over a trillion dollars in tax increases, while increasing costs on the backs of middle-class families, job creators and states during the worst economic downturn in a generation,” Sen. Orrin Hatch (R-Utah) said in a statement.
Nationwide, roughly 6 million people will likely lose their Medicaid eligibility because their states will not participate in the Medicaid expansion, CBO said. About half of those people would be able to buy private insurance through the law’s state-based exchanges, with help from a federal subsidy.