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Trump Administration Actions Will Affect Health Insurance Markets

October 13, 2017, Covington Alert

In a court filing this morning and an Executive Order issued yesterday, the Trump Administration announced major policy changes affecting health insurers and employers. The Administration intends to cease making cost-sharing reduction (CSR) payments to insurers, while also expanding the availability of Association Health Plans, short-term health plans, and Health Reimbursement Arrangements (HRAs). The end of CSR payments and the expansion of Association Health Plans are likely to substantially impact to the individual and small group health insurance markets and issuers. Each of these changes is discussed below.

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