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 PalloneCBO: Pelosi bill to lower drug prices saves Medicare 5 billion Trump official declines to testify on trade protections for tech platforms Hillicon Valley: New York AG meets with feds over Facebook probe | Trump trade official asked to testify on protections for tech giants | PayPal drops out of Libra cryptocurrency project 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 NealAmerica's workers and small business owners need the SECURE Act CBO: Pelosi bill to lower drug prices saves Medicare 5 billion Mexican president urges Pelosi to get USMCA trade deal approved 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.) and Sens. Ron WydenRonald (Ron) Lee WydenDemocrats urge Rick Perry not to roll back lightbulb efficiency rules Bipartisan senators want federal plan for sharing more info on supply chain threats PhRMA CEO warns Pelosi bill to lower drug prices would be 'devastating' for industry 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.).

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.