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Maryland state lawmakers propose replacement for repealed ObamaCare mandate

The Hill
Jessie Hellmann
January 9, 2018

State lawmakers in Maryland are looking to replace ObamaCare’s individual mandate, which was repealed by Republicans in Congress last month.

A proposal in Maryland would require people to pay a penalty for not having insurance. The money, though, could be used as a down payment for a health insurance plan.

People would also have the option to pay the penalty and get nothing in return.

If approved, the proposal would take effect in 2020.

The fine would be 2.5 percent of a person’s income or a flat rate of $696 — whichever is more.

The proposal would also automatically enroll uninsured residents who are eligible for Medicaid in the program.

President Trump signed a tax-reform bill at the end of the last year that repeals ObamaCare’s mandate beginning in 2020.

In response, lawmakers in some states, like Maryland, have discussed setting up their own requirements that people have health insurance.

Supporters of ObamaCare worry that not having a mandate will result in fewer healthy people buying insurance, resulting in higher premiums among a sicker risk pool.

However, experts have been divided about the potential effects of repealing the mandate.

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