Republican Sen. Orrin Hatch called Obamacare “the stupidest, dumbass bill” he’s ever seen at a recent American Enterprise Institute forum. “Some of you may have loved it,” he said. “And if you do, you are one of the stupidest, dumbass people I’ve ever met.”

Hatch ended up apologizing for his comment, but the question remains: If the chairman of the Senate Finance Committee considers Obamacare the “stupidest, dumbass” law on earth, then why on earth are his fellow Republicans so desperate to bail it out?

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The seismic effects of the Affordable Care Act on insurance markets continue to be felt nearly eight years after its enactment. Premiums for individual coverage more than doubled between 2013 and 2017. Much of that increase resulted from Obamacare’s new regulations. Some regulations-such as essential health benefits and actuarial value requirements-had discrete effects on premiums. A cluster of regulations prohibiting medical underwriting, requiring the issuance of coverage, and banning pre-existing condition exclusions under any circumstances collectively had the largest effect on premiums. Additional provisions of the ACA, such as those that induced costly enrollees with other coverage options to migrate to the subsidized individual market, also drove up premiums. The Trump Administration has taken some steps to help mitigate these challenges, but legislative action is the most effective approach. The Graham-Cassidy proposal offers a starting point for policymakers seeking to address these issues, by providing a conceptual framework for empowering states to repair or ameliorate much of the market dislocation resulting from Obamacare.
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Short-term health insurance is sometimes scoffed at as “sham insurance.” But to those who turn to it in need, this kind of insurance offers vital protection from unexpected medical costs. The Trump administration’s plan to extend how long it lasts makes sense.

Short-term plans offer temporary coverage for many of the same things standard health plans do. They don’t, however, cover things like preventive care, maternity care, or pre-existing medical conditions. Short-term plans do not meet the coverage requirements of the Affordable Care Act (ACA), but they have long offered a meaningful measure of protection to people who need to fill a gap in health insurance coverage.

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