Senators Call for HHS Secretary Becerra to Regulate Short-Term “Junk” Plans


A group of senators has called on U.S. Department of Health and Human Services Secretary Becerra to regulate short-term “junk” plans in light of the recent expansion of coverage options under the American Rescue Plan. “Junk” plans are short-term, limited duration insurance plans that are not required to provide coverage consistent with the Patient Protection and Affordable Care Act. The plans are, therefore, permitted to use discriminatory practices like retroactive coverage rescissions and caps on annual or lifetime spending. These practices disproportionately impact patients with preexisting conditions. The American Rescue Plan made comprehensive plans more affordable through additional subsidies, with 80 percent of eligible uninsured Americans qualifying for plans with monthly premiums below $10, and the Senators believe that regulation of the “junk” plans may help ensure more Americans transfer to the comprehensive plans without greatly increasing their costs. Read more here.


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