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Trump Administration Proposes Rules to Expand Access to Short-term Health Plans

March 13, 2018, Covington Alert

On October 12, 2017, President Trump issued an executive order, entitled “Promoting Healthcare Choice and Competition Across the United States”, that, among other things, instructed the Secretaries of Health and Human Services (HHS), Labor, and Treasury to “consider proposing regulations or revising guidance, consistent with law, to expand the availability of [short-term, limited duration insurance]” and to “consider allowing such insurance to cover longer periods and be renewed by the consumer.”

Last month, the Departments of Treasury, Labor, and HHS (“the Departments”) released a proposed rule implementing the Executive Order. Under the proposed rule, consumers would be able to purchase “short-term” health plans – which do not comply with the Affordable Care Act’s (ACA) benefits requirements and consumer protections – that last for up to 364 days, as opposed to the maximum of three months permitted under current law.

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