Trump Eases Limits On Short-Term Plans That Critics Call ‘Junk Insurance’ In Latest Blow To Health Law
Short-term policies are intended for people who are between jobs, and are generally cheaper than insurance that meets the law’s requirements. But they offer significantly less protection to consumers. House Minority Leader Nancy Pelosi (D-Calif.) said people buying these plans could be “one diagnosis away from disaster, discovering they have been paying for coverage that may not cover basic care such as cancer treatment.”
The New York Times:
Trump Moves To Relax Rules On Cheaper Health Insurance
The Trump administration took another swipe at the Affordable Care Act on Tuesday, proposing new rules that would make it much easier for consumers to buy less expensive health insurance policies that do not comply with coverage requirements of the law. Under current rules, such “short-term, limited-duration insurance” cannot last for more than three months. Under the proposal, the limit would be 364 days. (Pear, 2/20)
The Associated Press:
Trump Plan: Less Health Insurance For Lower Premiums
The proposed regulations would expand an alternative to the comprehensive medical plans required under former President Barack Obama's health law. Individuals could buy so-called "short-term" policies for up to 12 months. But the coverage would omit key consumer protections and offer fewer benefits, making it unattractive for older people or those with health problems. The plans would come with a disclaimer that they don't meet the Affordable Care Act's safeguards, such as guaranteed coverage, ten broad classes of benefits, and limits on how much older adults have to pay. Insurers could also charge more if a consumer's medical history discloses health problems. (2/20)
The Washington Post:
Short-Term Health Plans Skirting ACA-Required Benefits And Protections To Be Expanded
“It’s one step in the direction of providing Americans with health insurance options that are both more affordable and more individualized for families’ circumstances,” Azar said in a conference call with reporters to announce the proposed rule. Seema Verma, administrator of the Centers for Medicare and Medicaid Services, echoed that portrayal of the rewrite as health reform. “While in the past these plans have been a bridge, now they can be a lifeline,” she said. (Goldstein, 2/20)
The Wall Street Journal:
Health Proposal Would Loosen Limits On Short-Term Insurance
Republicans say allowing the extension of short-term plans would lower premiums by fostering competition and giving consumers more choices. Critics say it would allow for the sale of “junk” plans that have limited benefits and have been subject to fraud in the past, returning the market to the days before the ACA. “Bottom line: This is a green light to discriminate against Americans with pre-existing conditions that’s going to make quality health insurance more expensive and less accessible,” said Oregon’s Ron Wyden, the top Democrat on the Senate Finance Committee, which oversees many health-care issues. (Armour, 2/20)
Los Angeles Times:
Trump Administration Takes New Steps To Loosen Health Insurance Rules
Among the other leading patient groups that condemned the proposed new rules are the American Heart Assn., the American Lung Assn., the Arthritis Foundation, Consumers Union, the Cystic Fibrosis Foundation, the Leukemia and Lymphoma Society and the March of Dimes. The administration is already under fire for proposing last month to make it easier for self-employed Americans, small businesses and others to band together to get health insurance through what are called association health plans. Association plans do not have to offer a comprehensive set of so-called essential health benefits, a key requirement of the 2010 health law. (Levey, 2/20)
The Hill:
Dems Decry ObamaCare Change As New Attempt At 'Sabotage'
Three high-ranking Democrats blasted the Trump administration’s move Tuesday to expand access to plans that don’t meet ObamaCare’s requirements, calling it the “latest step” in the White House’s “effort to sabotage our nation’s healthcare system.” The Department of Health and Human Services (HHS) announced a proposed rule Tuesday that would increase the maximum length of short-term health plans from less than three months to nearly a year. The three-month limit had been set by the Obama administration. (Roubein, 2/20)