How to keep your health insurance premium from dropping too low

By Liz KreutzThe Associated PressWASHINGTON (AP) — Your insurance company might want to keep you from dropping below that benchmark for the federal health insurance subsidy you get to buy health insurance.

That’s because the subsidy that pays for the premiums that people purchase insurance for their families, the so-called cost-sharing reduction (CSR) subsidies, will be capped at $2,500 for an individual, $4,000 for a family and $6,500 in a group.

The CSR payments are used to help offset the cost of premiums for people who earn too much to qualify for federal subsidies.

If you fall below that cap, your premiums will go up.

The Federal Employees Health Benefits Program (FEHB) says it expects that at least two-thirds of the people who get subsidies through the federal government’s employer health insurance program will fall below the cap, which means their premiums will rise.

The agency says that in a couple years, the CSR subsidy would be worth nearly $3 trillion, and that it would be more valuable for the average family if the cap were lowered to $2.50 a month.

The Obama administration has said it’s prepared to keep the CSRs subsidy as is.

The administration also wants to reduce the subsidies for people making too much for the CSRS.

Under the Obama administration, about 3 million people receive the subsidy through FEHB, which is used by about 1 million small businesses and about 500,000 households.

That subsidy has been decreasing over time.