On Oct. 12, 2017, President Donald Trump signed an executive order aimed at increasing access to affordable products to Americans. The order directs the agencies in the executive branch (Departments of Labor, Treasury and Health and Human Services) to propose regulation and revise existing guidelines to expand Association Health Plans, short-term limited duration insurance policies and HRAs.
The White House is looking to improve both access and cost with these changes.

Here are some key excerpts from the document:

Explaining the need for these changes:
PPACA “has severely limited the choice of healthcare options available to many Americans and has produced large premium increases in many State individual markets for health insurance. The average exchange premium in the 39 States that are using www.healthcare.gov in 2017 is more than double the average overall individual market premium recorded in 2013. The PPACA has also largely failed to provide meaningful choice or competition between insurers, resulting in one-third of America's counties having only one insurer offering coverage on their applicable government-run exchange in 2017.”

Detailing the areas of focus:
“To the extent consistent with law, government rules and guidelines affecting the United States healthcare system should:
- expand the availability of and access to alternatives to expensive, mandate-laden PPACA insurance, including AHPs, STLDI, and HRAs;
- re-inject competition into healthcare markets by lowering barriers to entry, limiting excessive consolidation, and preventing abuses of market power; and
-improve access to and the quality of information that Americans need to make informed healthcare decisions, including data about healthcare prices and outcomes, while minimizing reporting burdens on affected plans, providers, or payers.”

Next steps and the timeframes for changes:
“Within 60 days of the date of this order, the Secretary of Labor shall consider proposing regulations or revising guidance, consistent with law, to expand access to health coverage by allowing more employers to form AHPs.”
“Within 60 days of the date of this order, the Secretaries of the Treasury, Labor, and Health and Human Services shall consider proposing regulations or revising guidance, consistent with law, to expand the availability of STLDI.”
“Within 120 days of the date of this order, the Secretaries of the Treasury, Labor, and Health and Human Services shall consider proposing regulations or revising guidance, to the extent permitted by law and supported by sound policy, to increase the usability of HRAs, to expand employers' ability to offer HRAs to their employees, and to allow HRAs to be used in conjunction with nongroup coverage.”

Until these new regulations re issued by the various departments, the existing ACA regulations are in force. Based on the timeframes set forth here, it is unlikely that this executive order can make any changes to the 2018 open enrollment season.

For more information or questions on this, please reach out to [email protected].