Wyden, Merkley Call Out Trump Admin Efforts to Promote Junk Plan Coverage Under Questionable Legal Authority
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- The senators' letter comes in response to links on the HealthCare.gov website re-directing customers to third-party online brokers that sell junk plans
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In a letter to the
The senators wrote, "We are extremely concerned that the increased availability of junk plans and lack of oversight by CMS will cause consumers who believe they are purchasing ACA-compliant health plans to inadvertently sign-up for junk plan coverage that is less comprehensive and could expose them to higher out-of-pocket costs. Americans who purchase these junk plans risk being denied coverage for pre-existing conditions and left vulnerable to unexpected gaps in coverage and massive medical bills in the case of health care emergencies."
The senators point to the provision in the ACA that prohibits the health care exchange from making plans available that don't meet the ACA's coverage standards and write, "It is also unclear what statutory authority CMS relies upon to authorize the re-direction of HealthCare.gov customers toward third-party broker entities that sell ACA-compliant coverage and junk plan coverage on the same platforms."
The senators emphasized that junk plans were never intended to be an alternative to comprehensive health coverage and pose dangerous risks for consumers. The administration's persistent efforts to expand junk plans, which includes extending the duration from 90 days to 364 days and encouraging states to apply for waivers from the ACA that would allow ACA premium tax credits to be used to subsidize junk plan coverage, risk confusing Americans into thinking these plans offer the same coverage as those that meet the ACA's standards.
Wyden and Merkley have joined efforts in
A copy of the letter is available here (https://www.shaheen.senate.gov/imo/media/doc/2019-11-20-Letter%20to%20HHS%20OIG%20and%20CCIIO%20on%20Junk%20Plans%20and%20Brokers.pdf)
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