CBO: Delaying mandate would cut deficit, raise premiums

House Republicans' bill to delay ObamaCare's individual mandate would cut the deficit, but would cause insurance premiums to rise, the Congressional Budget Office said Tuesday.

The CBO did not provide a complete estimate of the GOP's bill to delay the healthcare law's individual mandate. But based on previous analyses, the budget office said the bill would lower the deficit while causing insurance premiums to rise.

CBO said in 2011 that repealing the mandate would save the federal government roughly $282 billion, by reducing spending on Medicaid and subsidies to buy private insurance through newly created exchanges.

But premiums would likely be 15 to 20 percent higher without the mandate, according to CBO's earlier estimates, because healthier people would be less likely to buy insurance.