California braces for nearly 10% healthcare premium hikes in 2027, driven by soaring medical costs and slashed federal aid—especially after ACA tax credits expired and Medi-Cal eligibility tightened. But the state’s not sitting idle: Governor Newsom’s team is injecting $110 million to shield half a million residents. Meanwhile, the federal government is withholding nearly $900 million in Medicaid funds, demanding extra paperwork to curb fraud—creating a tense standoff between state efforts to cushion costs and federal demands for tighter oversight.
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