In the final months of his presidency, Barack Obama is proposing policy changes to his signature healthcare reform law in an effort to fix some of its most pressing problems and stem the tide of insurer exits from the marketplace exchanges.
The administration’s proposal demonstrate a commitment to making exchanges a desirable place to do business and further removes “potential obstacles to issuers growing their business and entering more markets,” CMS Acting Administrator Andy Slavitt said in a blog post.
On Monday, the Obama administration released a 300-page policy brief (.pdf) that appears to be a direct response to critiques from health insurers, politicians, the media and the public in general.
It aims to better balance the risk pool, increase enrollment and cut red tape–making it easier and more profitable for insurers to participate in exchange markets.
Aetna, Oscar Insurance Corp., UnitedHealth and Scott & White have all said they will significantly reduce or eliminate their ACA exchange offerings in 2017.
“The individual market isn’t working as intended and there are weaknesses in the way its been set up,” Oscar CEO Mario Schlosser said last week.
Rebalancing the risk pool remains a high priority for the administration and insurers. The proposed rule would rebalance the risk pool via a few mechanisms, Obamacare CEO Kevin Counihan said in a blog post. It would:
