"We are disappointed and disturbed that the U.S. Department of Labor released a final rule today authorizing the expansion of association health plans over the objections of virtually everyone who weighed in on the proposed rule, including small businesses. This is yet more evidence that this administration will do all it can to undermine the Affordable Care Act regardless of the consequences." — John Arensmeyer, Founder and CEO, Small Business Majority
June 25 2018 Issue
Headlines in Health Policy
Quotable
Association Health Plans
Affordable Care Act
The Safety Net
Prescription Drugs
Hospitals
Cost Containment
Quotable
Trump Administration Expands Use of Health Plans That Skirt ACA Consumer Protections
The Trump administration issued new rules on Tuesday that may lead to small businesses and self-employed people being offered health insurance that costs less because it includes fewer benefits and consumer protections, bypassing significant requirements of the Affordable Care Act. The rules, throwing the doors wide open to a type of insurance known as association health plans, accomplish through executive power what congressional Republicans have tried and failed to write into law over the past two decades. (Amy Goldstein, Washington Post)
Fraud Fears Rise as Feds Expand Access to Association Health Plans
Regulators and insurance experts worry the Trump administration's new rule expanding association health plans for small businesses and self-employed people will lead to a spike in insurance fraud and insolvencies that plagued consumers and health care providers in the past.…There is a long history of shady and inept operators of association health plans and related multiple employer welfare arrangements, with dozens of civil and criminal enforcement actions at the state and federal levels. (Harris Meyer, Modern Healthcare)
New York, Massachusetts. to Sue Over Trump Health Plans Skirting Obamacare Requirements
New York and Massachusetts will sue the Trump administration over its expansion of health insurance plans that don't meet all of Obamacare's requirements. New York Attorney General Barbara Underwood (D) and Massachusetts Attorney General Maura Healey (D) argue the expansion of association health plans will "invite fraud, mismanagement and deception." (Jessie Hellmann, The Hill)
Key Obamacare Groups in Limbo as They Await Funding
Local groups that help people sign up for coverage under the Affordable Care Act have yet to hear from the Trump administration about their annual federal funding, leaving many in limbo and fearing the grants could be too small or might not come at all. "We really haven't gotten any update or any deadline to submit applications or any knowledge at all about what the future is going to bring," said Karen Egozi, CEO of the Epilepsy Foundation of Florida, one of the state's larger health-care navigator programs. (Jessie Hellmann and Rachel Roubein, The Hill)
Government Reorganization Plan Embraces Conservative Goals for the Safety Net
The White House's goal of consolidating federal safety-net programs in a revamped and renamed health department would fulfill a long-held conservative goal that has the potential to reduce federal help for the neediest Americans. The Trump administration's plan to reorganize the federal government also has an explicit aim of building standardized requirements that people must work or prepare for jobs to qualify for government help. (Amy Goldstein and Caitlin Dewey, Washington Post)
Medicare Allows More Benefits for Chronically Ill, Aiming to Improve Care for Millions
Congress and the Trump administration is proposing to revamp Medicare to provide extra benefits to people with multiple chronic illnesses, a significant departure from the program’s traditional focus that aims to create a new model of care for millions of older Americans. The changes — reflected in a new law and in official guidance from the Department of Health and Human Services — tackle a vexing and costly problem in American health care: how to deal with long-term illnesses that can build on one another, and the social factors outside the reach of traditional medicine that can contribute to them, like nutrition, transportation, and housing. To that end, the additional benefits can include social and medical services, home improvements like wheelchair ramps, transportation to doctor’s offices, and home delivery of hot meals. (Robert Pear, New York Times)
Michigan Governor Signs Controversial Medicaid Work Requirement Bill
Michigan Gov. Rick Snyder (R) on Friday signed a bill to impose controversial work requirements on Medicaid recipients. If the plan is approved by the Trump administration, Michigan would become the fifth state to add work mandates to its program. (Peter Sullivan, The Hill)
Trump's Plan to Lower Drug Prices Tests Limits of the Law
In his effort to bring down prescription drug prices, President Trump is testing the limits of a law that prohibits the government from interfering in negotiations between drug manufacturers and insurance companies that provide drug coverage to more than 42 million people on Medicare. (Robert Pear, New York Times)
Number of Drug Makers Lobbying Congress on Pricing Issues Skyrockets
It's no secret that the pharmaceutical industry has spent record-setting sums on lobbying in recent years. But much of that increase, according to a new report from a watchdog group here, is specific to the issue of drug pricing, which has taken hold as a top-tier policy issue on Capitol Hill. The number of companies that cited "drug pricing" or variations on the phrase in disclosure documents has more than quadrupled in the last five years, according to Citizens for Responsibility and Ethics in Washington, a nonprofit focused on government ethics issues. (Lev Facher, Stat)
Trump Administration Rule Could Stop Public Reporting of Hospital Infections Despite Death Toll
Federal health regulators will have to stop releasing data on hospital infections — which affect one in 25 hospital patients every day — under a proposal set to take effect in November, according to an analysis by patient safety advocates. The Centers for Medicare and Medicaid Services' (CMS) plan, part of a complex 500-page proposed rule, could halt the public disclosure of the "super bug" MRSA, post-operative sepsis and surgical site infections, as well as accidents and injuries ranging from bedsores to respiratory failure after surgery. If the proposed rule is finalized, CMS' Hospital Compare website won't show the infections or safety measures. (Jayne O'Donnell, USA Today)
Amazon, Buffett, JPMorgan Pick Gawande to Lead Health Firm
Three corporate giants seeking to attack rising health care costs have turned to a Harvard professor who has written books about the system's many flaws. Amazon, JPMorgan Chase, and Berkshire Hathaway have named Dr. Atul Gawande CEO of a venture the companies announced earlier this year: an independent company focused on improving the care delivered to their employees while doing a better job of managing the expense. (Tom Murphy, Associated Press)