Trump Administration Proposal Could Allow Alternative Types Of Health Plans

by Billy Tarpley on January 8, 2018

Reprinted from ADA Morning Huddle, January 8, 2018:

The New York Times (1/4, Pear, Subscription Publication) reported that on Thursday, the Trump Administration unveiled “sweeping new rules that could make it easier for small businesses to band together and create health insurance plans that would be exempt from many of the consumer protections mandated by the Affordable Care Act.” According to the Labor Department, up to 11 million consumers “could find coverage under this proposal,” which would exempt small businesses from providing certain “‘essential health benefits’ like mental health care, emergency services, maternity and newborn care and prescription drugs.” The article noted that “the public will have 60 days to comment on the proposal before the Trump administration adopts final rules with the force of law.”

The Washington Post (1/4, Goldstein) reported that this proposal “would carry out the most significant part of an executive order that President Trump signed in October, directing the government to foster more alternative types of insurance.” Advocates maintain “the so-called association health plans would be less expensive, while critics – including the insurance industry – fear that they would promote substandard coverage and weaken the ACA’s already fragile insurance marketplaces.”

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