Connecticut joins suit to block ACA rule adding fees and cutting access to health coverage

Jul. 18—A recent final rule by the U.S. Department of Health and Human Services, which is implementing changes to people's access to the Affordable Care Act, is facing legal challenges, including one from Connecticut.

Attorney General William Tong announced on Thursday that Connecticut is joining a coalition of 20 other states filing a lawsuit against the Trump administration, arguing that the rule is unlawful and arbitrary, negatively impacting both the states and their residents.

The updated rule introduces several changes to the statutes that regulate a state's health insurance marketplace, according to a press release announcing the legal action. Not only does it add new verification requirements, it also charges a monthly fee to consumers auto-enrolled in $0 premium plans, and shortens the open enrollment period, among other changes. It would also exclude gender-affirming care as an essential health benefit on federal exchange plans.

Tong's office states that these changes to the Affordable Care Act will impose costly paperwork requirements and limit opportunities to enroll in coverage, ultimately creating significant barriers and increased costs for consumers. An estimated up to 1.8 million people may lose their coverage as a result. There are concerns it could also lead to increased state spending on Medicaid, uncompensated emergency care, and other fiscal impacts on the local economy.

The lawsuit is seeking preliminary relief and a stay to prevent portions of the final rule from taking effect on Aug. 25.

"Inflated premiums, more copays and deductibles, new junk fees and red tape. These rules are designed to jack up healthcare costs for American families and cause upwards of 1.8 million people to lose their health insurance entirely," said Tong in the press release. "And why? So that Trump and his cronies can have more money to pay for tax breaks for billionaires. These rules were rushed through with no legal process or planning, in violation of numerous laws. We're suing, and we're doing everything we can to protect access to affordable healthcare."

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