The Obama administration is set to announce another major delay in implementing the Affordable Care Act, easing election pressure on Democrats.
As early as this week, according to two sources, the White House will announce a new directive allowing insurers to continue offering health plans that do not meet ObamaCare’s minimum coverage requirements.
Prolonging the “keep your plan” fix will avoid another wave of health policy cancellations otherwise expected this fall.
The cancellations would have created a firestorm for Democratic candidates in the last, crucial weeks before Election Day.
The White House is intent on protecting its allies in the Senate, where Democrats face a battle to keep control of the chamber.
“I don’t see how they could have a bunch of these announcements going out in September,” one consultant in the health insurance industry said. “Not when they’re trying to defend the Senate and keep their losses at a minimum in the House. This is not something to have out there right before the election.”
The White House and the Department of Health and Human Services on Monday both said they had no updates to announce.
Late last year, the administration was grappling with the beleaguered HealthCare.gov and millions of canceled health plans in the individual market.
Republicans noted President Obama had repeatedly promised that no one would lose their health plan if they wanted to keep it.
Obama subsequently called on states and the insurance industry to allow people to keep their existing plans for an additional year. While many states agreed, it left the administration with a dilemma.
A one-year moratorium pushed the deadline beyond the midterm election, but insurers must send out cancellation notices 90 days in advance. That would mean notices in the mail by Oct. 1, five weeks before voters go to the polls.
The administration’s decision to pursue another extension was confirmed by insurance sources who predicted a public announcement would be “imminent.” It is unclear how long the extension will be, though one source believed it could last to the end of Obama’s second term, and perhaps beyond.
This issue is sure to be discussed during the 2016 presidential race, in which Hillary Clinton is expected to run.
In November, amid the rash of health plan cancellations, former President Clinton said Obama should allow people to keep their current coverage.
“I personally believe, even if it takes a change in the law, the president should honor the commitment the federal government made to those people and let them keep what they got,” Clinton said at the time.
Allowing insurers to continue offering noncompliant health plans for several years would substantially alter the health insurance landscape under ObamaCare.
It would also undercut one rationale for the healthcare reform law.
Under the Affordable Care Act, health plans are required to offer 10 medical benefits that the Obama administration deems essential.
Some of the services are popular, such as prescription drug coverage, but others, such as maternity and pediatric care, have been criticized as expensive as well as being unnecessary for many policyholders, such as older people.
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New ObamaCare delay to help Democrats in midterm elections | TheHill
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