Sen. Durbin Calls on Trump Administration to Stop Sabotaging Health Care for Americans by Pushing Junk Insurance Plans
"After repeatedly trying and failing to repeal the Affordable Care Act,
Taken together with repeal of the individual mandate, allowing junk plans to proliferate could result in health insurance premiums on the individual market increasing by nearly 20 percent in 2019 and approximately 100,000 people in
Under CMS' proposed rule, health insurers would be allowed to sell year-long plans that:
* Refuse coverage to people with pre-existing conditions;
* Deny coverage of essential health benefits such as maternity care, mental health and substance abuse treatment, hospitalizations, prescription drugs;
* Charge older or sicker people significantly higher premiums; and
* Can include annual or lifetime caps on benefits.
Under current law, individuals can obtain short-term health insurance plans for up to three months. These plans do not have to comply with ACA insurance requirements because they are meant to be used on a very temporary basis, like when someone is transitioning between jobs. However, CMS has proposed a rule that would extend the duration of these plans up to 12 months, and possibly longer. If finalized, the rule would likely result in younger and healthier Americans abandoning the ACA plans in favor of cheaper, skimpier "junk plans." As a result, only older and sicker Americans-- who need comprehensive coverage--would be left in ACA plans, leading to higher premium costs.
Arrowhead Center at NMSU, BCOM to Host Inaugural HealthAssembly Conference
Advisor News
Annuity News
Health/Employee Benefits News
Life Insurance News