Yesterday, the House and the Senate passed the “Tax Cuts and Jobs Act,” a sweeping tax bill that will materially affect virtually every sector in the economy, including, perhaps to a greater degree than others, the healthcare sector. Although the bill still awaits the President’s signature, its passage into law is all but assured. Between the bill’s repeal of the Affordable Care Act’s individual mandate, potential interaction with the so-called “PAYGO Law” and other provisions, we might reasonably expect to see:

• A material reduction in the number of insured nationally

• An increase in insurance premiums

• Reduced patient volume for non-emergency services (resulting from the reduced number of individuals with insurance)

• Potential cuts to Medicare and Medicaid (pursuant to the PAYGO Law)

• Potentially increased profits for corporate and qualifying pass-through entities