The Biden administration’s proposed rules would force a one-size-fits-all system on Americans and undermine states’ authority in the process.
in 1999 presidential order, Then-President Bill Clinton said, “A one-size-fits-all approach to public policy problems can hinder the creation of effective solutions to those problems.”
There is constant conflict between the federal government and state authorities, with the federal government often serving as the Goliath to the state David. So how do states resist federal efforts to uniformize everyone? Rules and regulations often play a very important role.
July 7, 2023, Biden Administration Department of Health and Human Services The proposed rules have been published. To limit short-term limited term insurance (STLDI) and exception benefit plans. This rule limits STLDI plans to three months, but can be extended by one month. It will also have a significant impact on exception benefit plans, which are typically supplemental plans such as cancer insurance and hospital indemnity insurance. These insurance policies are a lifesaver for many people who have to undergo expensive medical treatment far from home. The proposed rule would limit plans and fixed coverage plans that are sold on a “fee-for-service” basis.
ALEC submitted comments this week on the proposed rule, saying it would take away states’ authority to regulate these issues. The primary regulators of health insurance are states. The proposed rule would force uniform federal rules for everyone and impose unnecessary restrictions on both STLDI and excepted benefit plans.This is an issue that has already been litigated Central United Life v. Burwell. The court in this case was very clear: Government agencies can only do what Congress gives them authority to do. The Biden administration’s proposed rule has the same fatal flaw. The proposed rule has no legal basis.
One size does not fit all. States know what best meets the needs of their citizens and are in a position to adjust policies as necessary. Americans need choices when it comes to health care. We all have different health conditions, financial situations, and lifestyles, so one approach to insurance doesn’t make sense. The Biden administration’s proposed rules would force a one-size-fits-all system on Americans and undermine states’ authority in the process.
To read ALEC’s full regulatory comments, click here.
