The Obama administration is seeking to limit short-term health policies that include features largely banned under the Affordable Care Act, a proposal that could crimp a profitable and growing business for some insurers.

Under a proposed rule released Wednesday, insurers would only be able to offer short-term health policies that last less than three months, and the coverage couldn’t be renewed at the end of that period. The proposal seeks to close a gap that has let healthier consumers purchase short-term plans that could last for nearly a year, sometimes using them as a cheaper substitute for ACA plans.

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