The Trump administration faces a dilemma on Monday — continue fighting a court decision that could undo ObamaCare's cost-sharing reduction (CSR) or drop its appeal in the case and send the insurance markets into likely chaos, which recent polls suggest would be blamed on the Republicans, The Hill reported Sunday.
The White House must update the court by Monday on its decision regarding the appeal.
An administration official told The Hill "the White House has told Congress that it will make the May CSR, but has not made any commitment on further payments. No final decisions have been made at this time, and all options are on the table."
The court case stems from 2014, when House Republicans sued former President Barack Obama's administration over an estimated $7 billion annual payment to reimburse insurance companies for reducing co-pays and deductibles for low-income Obamacare customers. The GOP claimed the money should have been funded through a congressional appropriation.
A federal judge ruled in favor of the House, but the administration appealed and the payments have continued since during the appeals process.
The Trump administration's decision comes as lawmakers have been under pressure from lobbying groups to continue making the payments, the Washington Examiner reported.
"There is now clear evidence that this uncertainty is undermining the individual insurance market for 2018 and stands to negatively impact millions of people," one group wrote to the Senate urging the congressmen to continue the payments.
Health and Human Services Secretary Tom Price is said to be particularly leery of ending the payments due to the potential fallout from insurers leaving.
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