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Top House, Senate Dems warn administration on short-term insurance

Top House, Senate Dems warn administration on short-term insurance
© Greg Nash

The ranking Democrats of five House and Senate committees are calling on the Trump administration to withdraw a proposal that would expand access to plans that don’t meet ObamaCare’s consumer protection rules.

Led by House Energy and Commerce Committee ranking member Frank Pallone Jr.Frank Joseph PalloneIntercept bureau chief: Democrats dropping support of Medicare for All could threaten bill's momentum House Democrats reintroduce road map to carbon neutrality by 2050 House Democrats criticize Texas's 'shortcomings in preparations' on winter storms MORE (N.J.), the Democrats warned Health and Human Services Secretary Alex Azar and other administration officials in a Thursday letter that the rule would “encourage the sale of junk health plans that will undermine consumer protections, sabotage the Affordable Care Act (ACA) marketplaces, and expose consumers to great financial risk.”

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The proposed rules would allow people to buy short-term health insurance for up to 12 months, lifting restrictions from the Obama administration that limited the coverage to a maximum of three months.

“This proposed rule would expand the availability of discriminatory, deceptive, and insufficient plans … that deceive consumers into thinking they are covered for major medical expenses, and is yet another attempt to sabotage the health care markets on which millions rely for coverage,” wrote Democratic Reps. Richard NealRichard Edmund NealGAO report finds maternal mortality rates higher in rural, underserved areas On The Money: Weekly jobless claims fall to 498K, hitting new post-lockdown low | House to advance appropriations bills in June, July Rural Democrats urge protections from tax increases for family farms MORE (Mass.) and Bobby ScottRobert (Bobby) Cortez ScottBiden's pre-K plan is a bipartisan opportunity to serve the nation's children Democrats target Trump methane rule with Congressional Review Act Senators eye rollback of Trump methane rule with Congressional Review Act MORE (Va.) and Sens. Ron WydenRonald (Ron) Lee WydenGOP governors move to cut unemployment benefits as debate rages over effects Senate Finance Committee to consider clean energy legislation this month Hillicon Valley: Global cybersecurity leaders say they feel unprepared for attack | Senate Commerce Committee advances Biden's FTC nominee Lina Khan | Senate panel approves bill that would invest billions in tech MORE (Ore.) and Patty MurrayPatricia (Patty) Lynn MurrayBiden's pre-K plan is a bipartisan opportunity to serve the nation's children Schumer 'exploring' passing immigration unilaterally if talks unravel Senate Democrats push Biden over raising refugee cap MORE (Wash.).

The short-term plans split from ObamaCare in multiple ways, including that people with pre-existing conditions can be charged more. In addition, the plans do not have to comply with ObamaCare mandates for covering certain services, such as mental health treatment or prescription drugs.

The rule was one step taken by the Trump administration to open up cheaper, less-comprehensive insurance options as an alternative to people signing up for ObamaCare. Republicans say these options are needed to help people facing high costs under the health law.