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The Trump administration has finalized a new federal definition of short-term, limited duration insurance (“short-term plans”) designed to expand the use of these products as a primary source of health insurance coverage. The new plans could be available for sale by early October. In an “Expert Perspective” for the Robert Wood Johnson Foundation’s State Health & Value Strategies project, CHIR’s Sabrina Corlette summarizes key provisions of the final regulation and outlines options for state policymakers in the wake of the new policy.
States have unfettered authority to regulate and even ban short-term plans in order to protect consumers and stabilize their individual markets. Several states have already acted to limit the length of short-term plan contracts, require advance review of advertising materials, and crack down on deceptive or misleading marketing activity. For a full summary and review of state options, you can read the full article here.
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