Immigration Policy as Health Policy

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The eight prototypes for President Donald Trump’s US-Mexico border wall being built near San Diego are seen from across the border from Tijuana, Mexico, on Oct. 22, 2017.Guillermo Arias / AFP – Getty Images

As we saw with tax policy, immigration policy is another avenue for creating health policy. We can see this in (1) immigration-related rules within our health policy, (2) health policies within immigration policy, and (3) health impacts due to immigration policy.

(1) Immigration policy within health policy: Our two major federal health insurance programs, Medicare and Medicaid, are not available to all immigrants, including those lawfully present in the U.S., based on standard eligibility rules.  Undocumented immigrants are also barred from health insurance exchanges.  Immigration restrictions explain part of the reason why California, a state that expanded Medicaid early and set up a large exchange, still had a 7% of its residents uninsured after the Affordable Care Act. (This will change as premiums go up and the tax penalty is removed.)

Medicare

  • Permanent legal resident, in the U.S. for at least five years

AND

  • Self or spouse with U.S. work history,  OR
  • Pay monthly premiums

–> Older immigrants who were say, brought over by their children, may not qualify for Medicare for five years, or *ever*, irrespective of their time in the U.S., documentation status, age, or health care needs.

Medicaid 

  • Emergency Medicaid available irrespective of immigration status, if other eligibility criteria (e.g. income) are met
  • Full-scope Medicaid: Permanent legal resident, in the U.S. for at least five years
    • Refugees, asylees and other exceptions do not have to wait
    • States can choose to exempt 5-year wait for pregnant women and children
  • PRUCOL: Permanently Residing Under the Color of Law
    • Immigrants with PRUCOL status may be eligible for Medicaid benefits, depending on their state of residence.

–> Immigrants who would otherwise be eligible for Medicaid based on their income (or age, family structure and disability) may not receive full benefits in the first 5 years. Undocumented immigrants in some states may be eligible for Medicaid, but it depends entirely on the state where you live.

Health Insurance Marketplaces

  • Undocumented immigrants are not eligible to purchase coverage or receive premium tax credits

–>Even if they have the means to purchase insurance, they are unable to do so.

(2) Health Policies within Immigration policy

Public charge: the implication that immigrants will put an undue burden on the government, and hence their applications (for visas, green cards, citizenship) will be denied. The U.S. State Department sets public charge policy. In the past, public charge generally applied to persons with criminal records. The current administration has proposed that use of Medicaid, SNAP (food stamps) and WIC benefits can also be considered public charge, even if the individual was legally eligible for those benefits and entitled under our other policies. Prior to this, the administration initially proposed that public charge determination extended to all family members as well. In other words, if the parent, who holds a green card, signed up for Medicaid for their U.S. citizen children, the parent could be denied citizenship.

The proposed rules (and fear of enforcement actions- see (3) have led to a chilling effect, in  which one one in five Hispanic adults in immigrant families reported not using one of their benefits for fear of public charge.  Nearly half reported not using Medicaid or CHIP benefits.

–> Immigrants who would otherwise be eligible for health insurance, food assistance, and housing, are not signing up for benefits for fear of jeopardizing their legal status.

(3) Immigration enforcement actions

Immigration enforcement actions, including detention and family separations, can negatively impact health due to inadequate monitoring and care of ongoing health conditions and mental health consequences, including fatalities.

In addition, the fear of immigration enforcement actions (not only the actions themselves) are also known to have negative health impacts. Several studies have demonstrated broader community effects on enforcement actions, from a rise in low-birthweight infants among immigrants (irrespective of their documentation status) following an ICE raid, to negative effects of DACA uncertainty on the health  of recipients, by UC Davis’s own Prof. Caitlin Patler. 

 

When we talk about social determinants of health, it is important to recognize that our social factors are created in large part by our social policies.

Tax Policy as Health Policy

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Tax

Do you remember that this past December, Congress passed a major tax reform bill last year? (No? So much has happened except for actual legislation.)

A major health policy change was that the individual mandate to have health insurance (a key feature of the Affordable Care Act) was ended – for this year, if you don’t want to or can’t buy/otherwise sign up for health insurance, you no longer have to pay a penalty on your taxes in April 2019.

Without this penalty, younger, healthier people are less likely to sign up, leaving older and sicker people still shopping for health insurance. To deal with a smaller pool of people who likely have more health care costs, insurance companies will be charging more…which is what we are seeing.

Maryland insurers are requesting an average 30% increase in premiums for 2019. Meaning if you have insurance that currently charges you $800/month, you would have to pay $1040/month next year.

But this is just an average- if you look at specific plans, CareFirst is requesting 91% and 64% increases for PPO plans in Maryland and Virginia.

Insurers have not started sending notices in California yet, but our own insurance marketplace may see increases around 18% this year and 35% in three years.

What does this mean for disparities?

Unclear- for lower-income individuals, they will still have subsidies from the federal government so this group may see no effective change in the cost of insurance.  Those with higher incomes will see the real pain, and they may decide not to buy insurance on the marketplaces. In California, the “higher income” people are not necessarily well– for those living in the very expensive Bay Area, insurance may be too costly because all of your money has to go towards rent.

In the long run, an even bigger concern is that as the pool gets smaller and sicker, insurance companies will drop out and not offer coverage at all. (This is so terrifically named the “death spiral.”) This may hit rural communities first, because they already have fewer choices for healthcare providers and insurance.

Healthcare Policy by Executive Order

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In the absence of legislation around immigration reform, Barack Obama used executive actions to create policy, i.e. now we have DACA. Taking a similar page out of the presidential playbook, Donald Trump is using executive orders to bring about a retrenchment from the Affordable Care Act.

Today there was not one, but two, EOs that will increase uncertainty in the health insurance marketplaces, such as Covered California.

  1. Association Health Plans and Short-term Insurance: AHPs are plans for small businesses (and maybe self-employed individuals) who band together. Both AHPs and short-term plans can lead to a broader range of cheaper insurance options- in part because neither one has to meet ACA or state requirements, e.g. these plans do not have to cover essential health benefits such as prescription drugs (required for the marketplace plans). Healthy people who don’t need comprehensive coverage will be drawn to the cheaper AHPs and short-term plans, leaving behind sicker people in the marketplaces. The more sick people are packed into the marketplace, the higher premiums will go.
  2. Cost-sharing subsidies: These are payments that the federal government makes to help cover the costs of co-payments, deductibles, etc., for low-income people buying insurance in the marketplaces (over half of buyers).  Without the subsidies, health insurance plans will (and have already, due to uncertainty) increased premiums.

Both EOs could also make the cost of doing business in the marketplaces too high, and insurance plans may simply drop out.

*Now both EOs are likely to trigger lawsuits from states (1) and insurance companies (2) so it’s likely not much will happen yet. (2) can also be resolved by an act of Congress.

However, Congress has not yet renewed funding for the Children’s Health Insurance Program, employers are not required to offer plans with contraceptive coverage, and Puerto Rico–still struggling for clean drinking water and electricity– is on a Medicaid block grant.

I try to conclude these posts with a summary for implications for disparities- but they all seem to come to the same conclusion: if these EOs come to pass in the absence of other reforms, disparities by income, race and ethnicity, and gender, are all likely to widen. For all the new choices available, those with chronic and pre-existing conditions will likely see their premiums go up.