People-Powered Defeat of AHCA a Victory for Young Adults

FOR IMMEDIATE RELEASE:
March 24, 2017
Contact: Sarah Schultz, Sarah.Schultz@YoungInvincibles.org, 202-734-6510

This afternoon, House Leadership pulled the American Health Care Act from a vote after conceding that the legislation did not have support to move forward. In response, Jen Mishory, Executive Director of Young Invincibles, released the following statement:

“Over the past 7 years, more than 8 million young adults have gained insurance under the Affordable Care Act, and today’s victory protects that progress. Millions of low-income young people can continue to access Medicaid and discounted coverage, and millions more can continue to rely on benefits like free birth control, mental health services, and maternity coverage.

The fact that President Trump and Republican leaders in Congress did everything possible to take that security away is unconscionable. Their efforts failed because of the voices of people all over the country who shared their stories, made calls to Congress, attended rallies, and posted on social media – and this generation was a big part of that effort. Those young people will continue to speak up when leaders in Washington threaten their well-being.”

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Statement: Rep. Grothman AHCA Amendment Attacks Young Adult Coverage

FOR IMMEDIATE RELEASE:
March 22, 2017
Contact: Sarah Schultz, Sarah.Schultz@YoungInvincibles.org, 202-734-6510

Yesterday afternoon, Congressman Glenn Grothman of Wisconsin introduced an amendment to the AHCA, which would eliminate young adults’ ability to stay on a parent’s plan until age 26. Today the House Rules Committee will vote on this amendment, among others.

Jen Mishory, Executive Director of Young Invincibles released the following statement:

“Congressman Grothman’s amendment is a blatant attack on young people trying to get their start in life. Not only is dependent coverage one of the most popular provisions of the Affordable Care Act, but more than 2.3 million young adults have gained coverage by staying on a parent’s health plan until they turn 26.  This amendment would kick young people off coverage and harm their health.”

 

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Trump’s “Skinny” Budget Makes Deep Cuts to Higher Education and Job Programs

FOR IMMEDIATE RELEASE:
March 16, 2017
Contacts: Sarah Schultz

Trump’s “Skinny” Budget Makes Deep Cuts to Higher Education and Job Programs

Today, the Trump Administration released its FY18 “skinny” budget, which deeply harms young adults’ economic security and drastically limits their access to higher education.

Reid Setzer, Young Invincibles’  Deputy Director of Policy and Legislative Affairs released the following statement:

“The Trump administration’s FY18 budget makes severe cuts to higher education, far deeper than any recently proposed. This includes slashing almost 4 billion dollars from the Pell Grant program, which helps nearly 8 million low- and moderate-income students access and afford college. This cut is fiscally irresponsible and will accelerate potential budget shortfalls in the program, as well as increase the financial burden on millions of young people buried under student debt. The budget also ignores bipartisan proposals to improve the program and lessen that burden, including reinstating Year-Round Pell.

Additionally, the Trump administration’s budget dramatically cuts funding for Federal Work Study, TRIO, and GEAR UP,  as well as eliminating the Federal Supplemental Education Opportunity Grant program all together. These programs, which open up access and support systems for low- and moderate-income students, have had decades of support from Congress, colleges, and higher education stakeholders. This is a clear indication that this administration is not committed to expanding opportunity or improving equity, especially for students of color.

The budget also makes vague cuts to job training and employment service grants and would eliminate AmeriCorps, further limiting options for young people looking to find work or serve their country. In an age where  a postsecondary degree or credential is necessary for achieving financial security, young people need pathways to quality education, training, and marketable skills to achieve the American dream. This budget cruelly pushes it farther away. We can and must do better, and call upon Congress to reject this vision for America’s future.”

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Up to One in Three Young Adults Could Get Hit by AHCA Continuous Coverage Penalty

FOR IMMEDIATE RELEASE:

March 15, 2017

Contact: Sarah Schultz, sarah.schultz@younginvincibles.org, 202.734.6510

New Analysis Finds Up to One in Three Young Adults Could Get Hit by Continuous Coverage Penalty

Young Adults are About 70 Percent More Likely to Trigger Penalty Than Older Adults Under 65

[WASHINGTON]–On the heels of the release of the American Health Care Act, Young Invincibles released a new analysis on one of the bill’s most controversial provisions, the continuous coverage requirement that penalizes individuals who experience a gap in coverage exceeding 63 days. This new analysis finds that the requirement, or Millennial Penalty, would disproportionately burden young adults, ultimately spoiling the risk pool and inflating premiums for everyone.

Jen Mishory, executive director of Young Invincibles, released the following statement on the new analysis:

“The Millennial Penalty works directly against any stated attempts to bring down costs and increase coverage by punishing primarily young consumers for brief, common lapses in coverage. As many as one-third of young adults experience gaps in coverage over the course of the year. Cutting Medicaid and subsidies for low-income consumers already reduces coverage options for young people; the Millennial Penalty, or continuous coverage penalty, would cut young adult coverage further, while hiking up prices by discouraging the healthiest consumers from enrolling.”

Key findings in the new analysis include:

  • As many as one-third of young consumers experience a gap in coverage over the course of a year, which could force them to pay higher premiums because of the 30 percent surcharge.
  • Young adults, are about 70 percent more likely to face the surcharge than older generations
  • The surcharge will make healthy consumers – especially cost-sensitive young adults – far less likely to enroll, ultimately harming the risk pool and increasing premiums.

Click here to read the full analysis.

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Dispelling the Myth: House GOP Repeal Bill will Nearly Double Uninsurance for Young Adults

FOR IMMEDIATE RELEASE:
March 13, 2017
Contact: Sarah Schultz, Sarah.Schultz@YoungInvincibles.org, 202-734-6510

A new analysis from the nonpartisan Congressional Budget Office finds that House Republicans’ American Health Care Act (AHCA) would cause 24 million people to lose health care coverage over the next decade, including an estimated almost 6 million young adults.

House Republicans and others insist that the proposal would be good for young people, pointing to changes in age rating, reduction in benefit packages, and the tax credit structure that decreases premiums for some young people. But the CBO’s analysis shows that the overall impact of the plan results in loss of coverage and quality options for young people. These coverage losses will be driven primarily by the impact of the AHCA on low-income young adults, as those who depend on Medicaid, means-tested tax credits, and cost-sharing subsidies will see their coverage options dissolve. Many of these individuals will also face the prospect of a new 30 percent continuous coverage surcharge, or “Millennial Penalty,” for realizing a gap in coverage.  The result of those changes is an increase in uninsurance among 19-29 year olds of more than 10 percentage points.

Millions of Young Adults will Lose Coverage

The ACA cut the young adult uninsurance rate nearly in half, whereas the CBO estimates that the AHCA would cause the young adult uninsurance rate to nearly double.

  • Uninsurance: According to our analysis of the CBO’s projections, under the AHCA, young adults age 19-29 would see an increase in the uninsured rate from about 12% currently to about 22%, resulting in an estimated 5.76 million more — or 11.6 million total — young adults without insurance by 2026.
  • Impact of Cutting Medicaid and Means-Based Tax Credits:
    • Medicaid: 3.8 million young people (age 18-34) have gained coverage through Medicaid expansion. If all states expanded Medicaid, 4.2 million more young adults could qualify for coverage and the Millennial uninsurance rate would drop to as low as 9.2 percent.
      • The AHCA effectively guts Medicaid, and the CBO projects this will result in a coverage reduction of 14 million people by 2026.  Millions of those left behind will be under the age of 30.
  • 12.3 million young adults age 19-29 have incomes that are at or below 150 percent of the Federal Poverty Line, so it is likely that millions of low-income young people would lose out not only on their Medicaid options, but would receive less generous tax credits, as the AHCA ends means-based tax credits.
    • The CBO similarly suggests that people living within this income bracket will not see their premiums go down.
    • The CBO states that changes in age rating, the flat tax credits adjusted only by age, and a reduction in the quality of plans available would bring premiums down for many moderate- and upper-income young people and increase the share of young people in the risk pool.  These changes, however, do not outweigh the coverage losses that young people see due to losses in Medicaid coverage and means-based tax credits for the lowest-income young people.
  • The Millennial Penalty: People who experience a gap in coverage for more than 63 days during the previous year will be charged a 30 percent premium surcharge for the next 12 months. Life changes that can cause brief disruptions in coverage disproportionately burden young adults, who are more likely to move, change jobs, or lack the resources to handle financial hardships that may lead to lapses in coverage.  The CBO similarly states that this penalty will make healthy consumers far less likely to enroll.
      • The CBO estimates that 2 million fewer people would purchase insurance in the years after 2018 as a result of the continuous coverage penalty.
      • *Coming this week: New YI analysis looks at the scale of how many young people could be subject to the Millennial Penalty — and how the figures compare to other age groups.
  • Defunding Planned Parenthood: Millions of young people rely on Planned Parenthood. The CBO estimates that low-income people living in areas without access to other clinics or practitioners serving low-income populations would be most impacted, and that 15 percent of this population would lose access to care.

Higher Out of Pocket Costs Create Barriers to Care

The CBO projects that much of the decrease in premium costs can be attributed to a decrease in the quality of coverage offered, in turn raising out-of-pocket costs for consumers, many of whom are low-income.  But young people have consistently chosen better plans when given the choice and the means. For example, the ACA offers a “catastrophic plan” option, primarily for those under 30 – but less than 1 percent of marketplace enrollees have chosen that option.  At the same time, young people have a negative 2 percent savings rate due to other financial constraints, making high deductibles and cost-sharing a significant barrier to care.

  • High Out-of-Pocket Costs:  Under the AHCA, there will be no requirements for insurance companies to sell plan options with higher actuarial values. The CBO estimates that most plans will drop to 60 percent actuarial value (equal to the current Bronze plan).
  • No Cost-Sharing Subsidies: The CBO estimates that AHCA plans with lower actuarial values will result in higher out-of-pocket costs than current ACA plans, especially once cost-sharing subsidies are eliminated in 2020 as proposed by the plan.
    • About 44 percent of young people earn below 250 FPL, the cut-off for cost-sharing subsidies under the ACA.
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House GOP Plan Detrimental to Millennials’ Access to Health Coverage

FOR IMMEDIATE RELEASE:
March 6, 2017
Contact: Sarah Schultz, Sarah.Schultz@YoungInvincibles.org, 202-734-6510

Tonight, House Republicans introduced a bill to repeal and replace the ACA, which would have devastating effects on millions of young adults, a group which has seen the greatest health care gains under the ACA: in the past six years, Millennial uninsurance rates have dropped from 29 percent to 16 percent. Included in the bill are the following provisions that would be particularly detrimental to young people’s health and access to coverage, with statements from Jen Mishory, Executive Director of Young Invincibles:

Continuous Coverage Surcharge: The Millennial Penalty

“House Republicans say that they want to improve the pool and bring costs down for everyone, but this plan would do the exact opposite by imposing a “Millennial Penalty,” letting insurers charge people very steep penalties for brief lapses in coverage commonly resulting from life changes that disproportionately burden young adults, who are more likely to move, change jobs, or lack the resources to handle financial hardships that may lead to lapses in coverage.”

  • Data point: Young people move at twice the national rate, change jobs more than their older counterparts, and have incomes 20 percent less than their parents did at their age – leading to lower savings and wealth accumulation.

Gutting Medicaid
“The proposal states that they are modernizing Medicaid, but their plan would force states to cut access to coverage and care for millions of young people and families that qualify for expanded Medicaid.”

  • Data point: 3.8 million young people have gained coverage through Medicaid expansion. If all states expanded Medicaid, Millennial uninsurance rates could have dropped by as much as another 7 percentage points.

Defunding Planned Parenthood:
“Millions of young people rely on Planned Parenthood: by defunding Planned Parenthood this proposal would slash access to critical health care services for our generation.”

 

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New Report from Young Invincibles: A Blueprint for Higher Education Equity

FOR IMMEDIATE RELEASE:
March 1, 2017
Contact: Sarah Schultz, Sarah.Schultz@YoungInvincibles.org, 202-734-6510

New Report from Young Invincibles: A Blueprint for Higher Education Equity

An in-depth look at why race remains a barrier to degree attainment and what we can do to begin closing the gaps

[Washington, D.C.] — Today, Young Invincibles released its latest report, Race & Ethnicity as a Barrier to Opportunity: A Blueprint for Higher Education Equity. The report takes an in-depth look at the disproportionate challenges students of color face to achieving higher education attainment. The findings show that while overall attainment has increased for Black and Latino students, the attainment gaps between these groups and their white peers have actually widened in the last thirty years. Today’s economy increasingly demands a high quality postsecondary education to be competitive in the workforce, making these disparities troubling. Young Invincibles looked critically at the key stages of students’ higher education experiences – affording and accessing school, completing a quality education, and repaying their loans – to reveal the unique barriers faced at each. A few of the key findings include:

  • Access and Affordability: Even after financial aid, Black and Latino families dedicate 48 and 31 percent of their income to the cost of college, respectively, compared to only 24 percent for white families.
  • Attainment and Success: In 2015, just over 36 percent of white adults had completed four years of school. Black and Latino adults’ attainment rate sat at roughly 22 and 15 percent. These gaps have grown wider in the last thirty years.
  • Repayment and Outcomes: Four years after graduating with a bachelor’s degree, Latino students are twice as likely to have defaulted on their loans, while African American students are three and a half times more likely than white peers.

“We’re on track to be a majority-minority nation in our lifetime, yet right now our higher education system is leaving behind the very people our nation’s economy will soon rely on to lead us into the future,” said Christopher Nellum, Ph.D., Policy Director for Young Invincibles. “Insufficient public policy and institutional practices are failing to level the playing field for young people of color. We need interventions and solutions that will close racial opportunity gaps, in turn providing better income and financial stability for young people of color and our nation’s economy.”

In the report, Young Invincibles makes a series of federal policy recommendations to begin closing these gaps, including how to give students the tools and support they need to access college, complete a degree, and manage student loan debt. These solutions include: establishing and expanding protections for students against predatory colleges, improving financial aid systems such as federal work study and Pell grants, and simplifying the loan repayment process.

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New House Document Is No Plan to Protect Millennials’ Health Care

FOR IMMEDIATE RELEASE:

February 17, 2017

Contact: Sarah Schultz, sarah.schultz@younginvincibles.org, 202.734.6510

New House Document Threatens Millennials’ Health Care, Would End Medicaid As We Know It

[WASHINGTON]–On Thursday, House Republicans released a document that makes clear that they have no plan to protect Millennials’ health care and would trample on the progress young adults have made under the Affordable Care Act. YI’s Executive Director Jen Mishory released the following statement on the paper:

“Studies have shown that proposals similar to the House Republican release would strip young adults of their coverage and increase costs for young people currently eligible for premium tax credits. The House document, certainly not an actual plan, would also provide significant tax cuts to the rich while ending Medicaid as we know it — cutting coverage and benefits for the most vulnerable in our society, including pregnant women, people with disabilities, and low-income workers. It could also allow discrimination against up to 30 million young adults with a pre-existing condition. Under the Affordable Care Act, more than 8 million young adults have gained coverage. Under House Republicans’ framework, costs will rise, the number of uninsured will climb, and protections against insurers’ worst abuses will be stripped away. That’s bad for young people’s health.”

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Governor Rauner’s FY2018 Budget Funds MAP but Falls Short on True Investment in Higher Education

Yesterday, Governor Rauner released his Fiscal Year 2018 budget. Erin Steva, Midwest Director of Young Invincibles, released the statement below in response:

“We applaud the recommendation to increase Monetary Award Program (MAP) grant funding by 10 percent. Funding shortages have forced 160,000 eligible students to go without aid each year, and expanding MAP grant funding will provide critical relief to Illinois’ highest need students.

This is a critical down payment, yet much more is needed to support students from low-income families and to reverse the rapid disinvestment that has left Illinois’ higher education system starving for resources. MAP grants covered 100 percent of tuition and fees in 2002, but now only fund 46 percent of costs at four-year community colleges and 32 percent of costs at public universities.

Ultimately supporting low-income students will require a deeper investment in our higher education system as a whole. This year’s budget would cut higher education funding by over $270 million relative to FY15, additional cuts that will devastate our already resource-starved institutions. Over a decade of state disinvestment has caused tuition increases, faculty layoffs, and students to leave for out-of-state schooling. Illinois must make higher education a priority and back that commitment with meaningful investment that restores funding for the current fiscal year and brings higher education funding to pre-recession levels for FY18.”

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Young Invincibles Expresses Deep Concern Over Confirmation of DeVos as Secretary of Education

FOR IMMEDIATE RELEASE:
February 7, 2017
CONTACT: Sarah Schultz, sarah.schultz@younginvincibles.org202-734-6510

[WASHINGTON] - Earlier today, Betsy DeVos was narrowly confirmed as the 11th United States Secretary of Education after Vice President Pence voted to confirm, breaking a 50-50 tie. After the vote, Rory O’Sullivan, Young Invincibles’ Deputy Director, released the following statement:

“As we were throughout her confirmation process, Young Invincibles remains seriously concerned about Mrs. DeVos serving as the Secretary of the Department of Education, namely due to her lack of clarity and commitment to issues concerning Millennials and higher education. In her hearing and on-record responses, Mrs. Devos failed to address how she would stop the staggering increases in student debt, whether she would protect Pell grants and other forms of student aid, how she would use data to help students and families make more informed college choices, and how she would assist millions of student loan borrowers struggling with a complex system and unmanageable monthly payments. We simply do not know what she stands for. Moreover, Mrs. DeVos would not commit to enforcing existing consumer protections like the gainful employment and borrower defense rules, which are the only guardrails against predatory schools who target veterans and hardworking students, subsisting almost entirely on taxpayer dollars.

In a time when over 40 million borrowers are grappling with 1.3 trillion dollars of growing student debt, the Secretary of Education must be prepared to prioritize these issues, for the sake of not only today’s students, but the future of the country. Young Invincibles stands ready to advocate for our generation’s affordable access to quality higher education, and will do all we can to demonstrate to Secretary DeVos the importance of these issues in the months to come.”

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