Calling it a beginning, Trump signs health care order
"With these actions, we are moving toward lower costs and more options in the health care market," Trump said before signing his directive in the
Some experts said the
Other experts said Trump's proposals appear to be modest and would have limited impact.
The steps the president outlined Thursday will take months for the federal bureaucracy to finalize in regulations. Experts said consumers should not expect changes for next year.
One of the main ideas from the administration involves easing the way for groups and associations of employers to sponsor coverage that can be marketed across the land. That reflects Trump's longstanding belief that interstate competition will lead to lower premiums for consumers who buy their own health insurance policies, as well as for small businesses.
Those "association health plans" could be shielded from some state and federal insurance requirements. But responding to concerns, the
Other elements of the
—Easing current restrictions on short-term policies that last less than a year, an option for people making a life transition, from recent college graduates to early retirees. Those policies are not subject to current federal and state rules that require standard benefits and other consumer protections.
—Allowing employers to set aside pre-tax dollars so workers can use the money to buy an individual health policy.
"This executive order is the start of a long process as the gears of the federal bureaucracy churn, not the final word," said
It's also unlikely to reverse the trend of insurers exiting state markets. About half of
On
But Sen.
As Trump himself once said, health care is complicated and getting his way won't be as easy as signing a presidential order.
State attorneys general and state insurance regulators may try to block the administration in court, if federal regulations are seen as a challenge to state oversight authority.
Experts say the executive order won't premiums for 2018, which are expected to be sharply higher in many states for people buying their own policies.
Sponsors would have to be found to offer and market the new style association plans, and insurers would have to step up to design and administer them.
"This just isn't a revolution to insurance markets," said economist
Sen.
About 17 million people buying individual health insurance policies are the main focus of Trump's order. Nearly 9 million of those consumers receive tax credits under the Obama law and are protected from higher premiums.
But those who get no subsidies are exposed to the full brunt of cost increases that could reach well into the double digits in many states next year. Many in this latter group are solid middle-class, including self-employed business people and early retirees. Cutting their premiums has been a longstanding political promise for
Gov. Snyder defends Medicaid expansion to Wisconsin senator
TREND: Americans Slash Their Taxes…as Expats Overseas–Internationalliving.com
Advisor News
Annuity News
Health/Employee Benefits News
Life Insurance News