Trump Administration Issues Market Stabilization Rule

In an attempt to assuage concerns regarding market stability in the individual insurance marketplace, the Trump administration issued a final rule on April 14 that makes a number of modifications to the marketplace’s regulatory framework. The new rule would, among other things:

  • Shorten the enrollment period from three months to six weeks
  • Make it harder for consumers to gain coverage outside of the enrollment period
  • Afford greater flexibility to the states to determine network adequacy
  • Allow insurers to deny coverage to beneficiaries who don’t pay their premiums
  • Allow insurers to pay a lower percentage of medical costs

The rule was silent on the insurance mandate and only indirectly addresses cost-sharing reduction subsidies, despite specific requests to address issues raised by AAFP and other organizations in a letter sent to President Trump on April 12.