MacArthur Amendment to The American Health Care Act Introduced

Healthcare

MacArthur Amendment to The American Health Care Act Introduced

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An eight-page Amendment has been introduced to The American Health Care Act by Tom MacArthur, a New Jersey Congressman (R-NJ). Under the Amendment, states can submit a “waiver” to the Department of Health and Human Services that would lessen the effect of several reforms that were instituted as part of the Affordable Care Act (“ACA”).

For example, the Amendment would allow health plans that exclude “Essential Health Benefits” as defined in the ACA. The ACA implemented 10 Essential Health Benefits including ambulatory patient services, emergency services, hospitalization and pediatric services.

Waivers, if not denied by the Secretary within 60 days of submission with an explanation as to the reason for denial, would receive “Default Approval” under the Amendment.

As outlined in the Amendment, the purposes of the waivers, which must be indicated by states submitting them, are to:

  • Reduce average premiums for health insurance coverage in the State;
  • Increase enrollment in health insurance coverage in the State;
  • Stabilize the market for health insurance coverage in the State;
  • Stabilize premiums for individuals with pre-existing conditions; and
  • Increase the choice of health plans in the State.

The House Rules Committee has posted the language of the Amendment on its website. The Amendment has rejuvenated interest in ACA repeal under the new Administration as Republicans attempt to gain the support needed to pass the AHCA. A vote could come as early as next week.

Anthony Panico, CPA, MS, Partner
T (973) 898 9494
[email protected]
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