Republican-led states are pushing back on a federal proposal to limit the use of short-term health plans. The Obama administration aims to move more healthy people into the Affordable Care Act marketplace by limiting cheaper but less-robust coverage options.
Under a proposal co-drafted by the IRS, HHS and Department of Labor, short-term policies may be offered for only less than three months and coverage cannot be renewed at the end of the three-month period. As things are now, consumers can stay in such plans for 12 months.
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