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States File Lawsuit Over Insurance Cost-Sharing Subsidies

Xavier Becerra became California's attorney general in January 2017.

 
(AP) - California is among nearly 20 states that have filed a lawsuit against President Donald Trump over his decision to stop payments that lower health insurance deductibles and co-pays for millions of Americans with modest incomes.

Attorneys general from Connecticut, Kentucky, Massachusetts and New York are also among those announcing they had filed the lawsuit in federal court in California.

Trump said Thursday he would end the cost-sharing subsidies.

California Attorney General Xavier Becerra and others say Trump is not following federal law in ending a legally mandated system that already is operating.

Connecticut Attorney General George Jepsen says Trump's action would raise health insurance prices enough that healthier people will flee the insurance markets, resulting in higher costs for those who remain.

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