CMS Proposed Rule For Short-Term, Limited Health Insurance: Would You Get The Coverage You Expect?

Posted by donna@healthlawcenterplc.com in May, 2018

The Centers for Medicare & Medicaid Services (CMS) has issued a proposed rule that seeks to expand the sale and use of short-term, limited duration health insurance plans (“skinny health plans”), by extending the maximum duration of such plans from three months to twelve months. These types of health insurance plans by definition are not required to meet the Affordable Care Act requirements with respect to essential health benefits, pre-existing conditions protections, and lifetime coverage limits. While these plans would likely offer inexpensive coverage attractive to healthy individuals, for those with chronic or complex pre-existing medical conditions purchase of a skinny health plan could result in essentially no coverage if medical care is sought for a pre-existing medical condition. It is very important for individuals to understand the pros and cons of skinny health plans based on their medical conditions and needs.