Attorney General Jennifer Davenport, along with Attorneys General from California, Massachusetts, and 16 other states, called on Mar. 13 for the Trump Administration to withdraw a proposed payment rule that would affect health insurance coverage under the Affordable Care Act (ACA) marketplace exchanges.
The proposed rule is significant because it could raise maximum out-of-pocket expenses for families to $31,200 for catastrophic plans and potentially cause up to two million Americans to lose their health insurance. These changes come after previous policy shifts that have already resulted in millions losing coverage.
Governor Mikie Sherrill said, “Instead of lowering health insurance costs and widening access to high-quality health care, the Trump Administration’s big idea is to expand access to skimpy plans that cost more—shockingly more—and give you less for your money.” Sherrill also criticized the refusal to extend ACA tax credits and changes to Medicaid that affected hundreds of thousands of New Jersey residents. Attorney General Davenport said, “The proposed rule creates a health care regime that is unaffordable for most everyday New Jerseyans, creates a byzantine process for enrolling in health insurance, and imposes costly burdens on the states to comply with new requirements.”
Susan Ochs, Acting Commissioner of the Department of Banking and Insurance, said the rule would destabilize New Jersey’s State-based Health Insurance Marketplace. Dr. Raynard E. Washington, Acting Commissioner of Health, added that the rules would make it harder for people to get preventive medical care and could increase medical debt.
The proposal includes several provisions such as eliminating standardized plans, introducing non-network options likely to confuse consumers, removing adult dental coverage without required reporting or justification, ending special enrollment periods for low-income individuals who lose Medicaid coverage, and allowing private web brokers without clear consumer protections. It also seeks to expand catastrophic plans beyond their original intent and introduces multi-year catastrophic plans with different out-of-pocket limits based on disease type.
According to the official website, the New Jersey Attorney General Matthew Platkin aims to protect residents’ lives and property while upholding legal standards statewide according to the official website. The office extends its services throughout all counties in New Jersey according to the official website and influences public safety through law enforcement oversight according to the official website. The Attorney General holds authority over law enforcement matters across New Jersey according to the official website, offering services such as legal representation for state agencies and consumer protection initiatives according to the official website. The agency focuses on justice and public safety across New Jersey according to the official website.
The letter opposing these changes was signed by Attorneys General from multiple states including Arizona, Colorado, Delaware, Hawaii, Illinois, Maine, Maryland, Michigan, Minnesota, Nevada, New Mexico, New York, Oregon, Rhode Island, Washington State and Wisconsin.
