Democracy Dies in Darkness

Trump administration proposes rules for health plans without certain ACA protections

January 4, 2018 at 4:29 p.m. EST
President Trump holds up an executive order overhauling federal regulations of the health insurance market after a signing ceremony at the White House in October. (Reynold/Epa-Efe/Rex/Shutterstock)

The Trump administration proposed new rules on Thursday to make it easier for small businesses and individuals to buy a type of health plan long favored by conservatives that could bypass some of the insurance protections built into the Affordable Care Act.

The proposal, issued by the Labor Department, would carry out the most significant part of an executive order that President Trump signed in October, directing the government to foster alternative types of insurance. Proponents say the association health plans would be less expensive and enhance consumer choice, while critics — including the insurance industry — fear they would promote substandard coverage and weaken the ACA's already fragile insurance marketplaces.