Judge Rejects Trump’s Proposal For Skimpier ‘Association Health Plans,’ Calling It ‘An End-Run’ Around The Health Law
Implementing association health plans available outside the strict requirements of the health law was framed by the White House as an affordable alternative, but U.S. District Judge John D. Bates of the District of Columbia saw it differently. “The final rule is clearly an end-run around the ACA,” wrote Bates, an appointee of President George W. Bush. “Indeed, as the president directed, and the secretary of labor confirmed, the final rule was designed to expand access to AHPs to avoid the most stringent requirements of the ACA.” It was the second blow this week to Trump administration's health care efforts.
The New York Times:
Dealing Another Blow To Trump, Federal Judge Strikes Down Rule Skirting Requirements Of Health Act
A federal judge on Thursday struck down a Trump administration rule that allows small businesses to band together and set up health insurance plans that skirt requirements of the Affordable Care Act. The rule is “clearly an end-run around the A.C.A.,” said the judge, John D. Bates, of the Federal District Court for the District of Columbia. The ruling was the second big defeat this week for President Trump on a top-priority item on his health care agenda as he has sought to use the courts to obliterate his predecessor’s signature achievement. Another judge on Wednesday blocked Medicaid work requirements in Arkansas and Kentucky. (Pear, 3/28)
The Washington Post:
Judge Strikes Down Trump’s Health Care Plan To Go Around Obamacare
The 43-page ruling, submitted by U.S. District Judge John D. Bates of the District of Columbia, blocks new rules from the Trump administration overseeing “association health plans,” which would allow small businesses to combine their forces to offer less expensive plans outside the ACA that would be both less expensive and provide fewer health protections. “The final rule is clearly an end-run around the ACA,” Bates, an appointee of President George W. Bush, wrote in the Thursday ruling. “Indeed, as the president directed, and the secretary of labor confirmed, the final rule was designed to expand access to AHPs to avoid the most stringent requirements of the ACA.” (Bella, 3/29)
Reuters:
U.S Judge Strikes Down Rule Allowing 'Skimpy' Health Insurance Plans
The rule, put forward by the U.S. Department of Labor, would have allowed small businesses and those who are self-employed to band together and buy lower-cost health insurance policies, similar to large employers. In the suit filed by 11 states and the District of Columbia, the judge found the department unreasonably expanded the definition of employers to include groups without any real commonality of interest as well as business owners without employees. (3/28)
Politico:
Trump Administration Suffers Another Obamacare Blow In Court
“We are pleased that the District Court saw past the Trump Administration’s transparent effort to sabotage our health care system and gut these critical consumer protections in the service of its own partisan agenda,” New York Attorney General Tish James, one of the parties to the suit, said in a statement. It was not immediately clear if the administration would appeal. (Demko, 3/28)
The Wall Street Journal:
Federal Judge Blocks Trump Rule On Association Health Plans
An additional four million people were expected to enroll in these less comprehensive plans by 2023, according to the Labor Department, which issued the final rule. “We disagree with the district court’s ruling and are considering all available options,” Justice Department spokeswoman Kelly Laco said. “The administration will continue to fight for sole proprietors and small businesses so that they can have the freedom to band together to obtain more affordable, quality health-care coverage. The Association Health Plan rule opened health-care options for dozens of associations representing thousands of small businesses and sole proprietors and provided them with access to the same type of affordable health-care options offered by other employers.” (Armour, 3/28)
Modern Healthcare:
Judge Strikes Down Association Health Plan Rule As ACA Runaround
The Department of Labor expanded access to AHPs through an ERISA regulatory change. The agency has authority over group insurance regulation through that law. The judge said this change ran counter to "Congress's clear intent that ERISA cover benefits arising out of employment relationships." During oral arguments in January, Judge Bates homed in on the Trump administration's intent, noting it seemed like a dispute between the executive branch and Congress. He frequently invoked the paper trail of ACA criticism from President Donald Trump and his top deputies as clear intent that the rule was meant to change the ACA insurance markets. (Teichert and Luthi, 3/28)
CNN:
Court Blocks Another Trump Attempt To Undermine Obamacare
The ruling comes amid a whirlwind week for the Trump administration and its efforts to tear down Obamacare. On Monday, the Justice Department said the entire Affordable Care Act should be struck down in a filing with a federal appeals court, a dramatic reversal of a stance it took last year. And on Wednesday, a federal district court judge blocked the administration's efforts to allow states to impose work requirements on Medicaid recipients. Trump now says that his administration will roll out a new health care plan this year. (Luhby, 3/29)
Bloomberg:
Trump's Group Health Plan Rules Struck Down As ACA `End-Run'
The decision is the second blow to Trump’s health agenda in as many days. It follows twin rulings Wednesday by another Washington judge who blocked administration-sanctioned plans to impose work requirements for some Medicaid recipients in Kentucky and Arkansas. (Larson and Tozzi, 3/28)
CQ HealthBeat:
Judge Blocks Trump's Association Health Plan Rule
Republicans on Capitol Hill pointed to association health plans this week as their policy alternative for more affordable health care than the plans sold under the Democrats’ health care law. "These association health plans, the number of people that are signing up for them is pretty big," Sen. John Barrasso, R-Wyo. told reporters before the ruling came out on Thursday. (McIntire, 3/28)
