Democrats demand answers on Trump short-term insurance plans

House and Senate Democrats want answers about the Trump administration’s decision to expand the availability of short-term insurance plans that are not required to meet ObamaCare requirements.

The letter sent Tuesday is the third time Democratic health care leaders have written to the administration about the short-term plan proposal, but the first time since Democrats took control of the House.

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Lawmakers said they have yet to receive all of the information and answers they requested. Democratic Reps. Frank Pallone Jr.Frank Joseph PallonePrivate equity-funded doctors coalition spends million lobbying on 'surprise' medical billing Lawmakers set to host fundraisers focused on Nats' World Series trip CBO: Pelosi bill to lower drug prices saves Medicare 5 billion MORE (N.J.), Richard NealRichard Edmund NealHouse progressives to push for floor amendments on Pelosi drug price bill Overnight Health Care — Presented by Partnership for America's Health Care Future — Four companies reach 0M settlement in opioid lawsuit | Deal opens door to larger settlements | House panel to consider vaping tax | Drug pricing markup tomorrow House Democrats ask judge to dismiss Trump lawsuit over NY tax return law MORE (Mass.) and Bobby ScottRobert (Bobby) Cortez ScottCBO: Pelosi bill to lower drug prices saves Medicare 5 billion Democrats divided on surprise medical bill fix NYC teacher suing DeVos over student loan forgiveness program MORE (Va.), as well as Democratic Sens. Ron WydenRonald (Ron) Lee WydenHouse passes bill taking aim at anonymous shell companies Senate Democrats to force vote Wednesday to overturn IRS rules on SALT deduction cap Hillicon Valley: Facebook removes Russian, Iranian accounts trying to interfere in 2020 | Zuckerberg on public relations blitz | Uncertainty over Huawei ban one month out MORE (Ore.) and Patty MurrayPatricia (Patty) Lynn MurrayDemocrats urge Rick Perry not to roll back lightbulb efficiency rules Biz groups say Warren labor plan would be disaster Freedom of the press under fire in Colorado MORE (Wash.), signed the letter.

The Democrats said they remain concerned about the administration’s “flawed” economic analysis on the expansion of short-term plans, which they said appeared to significantly underestimate the number of individuals who would sign up for short-term plans, and the impact the proposal would have on premiums in the individual market.

“We believe allowing for renewal or extension of short-term policies for up to 36 months is contrary to law, and that the creation of an entirely unregulated parallel market competing against the market for Qualified Health Plans goes against Congressional intent in enacting the comprehensive consumer protections embodied in the Affordable Care Act,” they wrote.

The Trump administration in August finalized rules expanding non-ObamaCare health insurance plans in an effort to provide cheaper health insurance options.

Short-term health insurance plans can now last up to a year, lifting a limit of three months imposed under former President Obama. Insurers can renew the plans for up to three years. 

The administration touts these plans because they offer lower premiums for healthy people, but the plans do not need to follow ObamaCare rules, meaning they can charge people with pre-existing conditions higher premiums and leave out coverage of certain health services.

Democrats have labeled the plans as “junk” insurance and claim the move is part of the administration’s efforts to “sabotage” ObamaCare.

Insurers have also warned that the move will raise premiums for people remaining in ObamaCare plans, since some healthy people will be siphoned off into the new short-term plans.