cost-sharing reduction

Cost-sharing reduction (CSR) refers to financial assistance provided to lower-income individuals and families to help reduce their out-of-pocket expenses for healthcare services, such as deductibles and co-pays. This program is part of the Affordable Care Act in the U.S. It ensures that eligible participants, who purchase insurance through the Health Insurance Marketplace, pay less when they access medical care. Essentially, CSRs lower the costs associated with health insurance, making it more affordable for those who may struggle with high medical expenses, thus promoting better healthcare access and financial stability.