Restricting short-term health insurance prevents people from getting health

Congress has given concessions to STLDI [short term limited duration insurance] All plans from federal health insurance regulations. As a result, premiums are often 90 percent lower than ObamaCare premiums, and the pre-existing conditions of ObamaCare do not impair the continued coverage for patients on STLDI plans.

In 2016, the Obama administration arbitrarily limited the validity of the STLDI plan to 3 months. In 2018, the Trump administration issued a final rule that would allow initial STLDI contracts to last up to 12 months; Allows registrants to renew that initial plan for up to 36 months; And allows consumers to sew as many as 36-month plans together using a “renewal guarantee” that protects them from underwriting after enrollment.

This is from the always insightful health economist Michael Cannon today. His post, “GAO reports negligence in mentioning the cruelty of limiting short-term plans,” Cato in LibertyJune 2, 2022.

Another quote:

Balvin soon needed emergency surgery for diverticulitis. (Her STLDI plan paid for her hospital care immediately and in full.) At that time, federal regulations forced her insurer to cancel her STLDI plan instead of renewing it after three months. These rules underwritten Balvin when he went to purchase a plan for the next three months, meaning that the plan would not allow him to be admitted to his second hospital for any related condition and would not be able to cover it. Under these federal rules, Balvin had to face $ 97,000 in hospital charges without any insurance. NAIC STLDI-Predicted this consequence of limiting the duration and renewal of the plan. Those who want to limit STLDI are literally trying to deny consumer protection and coverage to the sick.

The whole thing is worth reading well.

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