Idaho officials say the Trump administration did not deny its bid to sell plans on Obamacare’s insurance exchanges that do not meet the law’s quality requirements.
The Centers for Medicare and Medicaid Services told Idaho Thursday that its bid to sell plans that don’t comply with Obamacare was against the law. However, the state responded that it wasn’t a rejection.
“Contrary to news media interpretations, the letter from CMS Administrator [Seema Verma] was not a rejection of our approach to providing more affordable health insurance options for the people of Idaho,” according to a statement from Republican Gov. C.L. “Butch” Otter, Lt. Gov. Brad Little, and Insurance Commissioner Dean Cameron.
The statement from Idaho’s officials said it considers the letter to be an “invitation from CMS to continue discussing the specifics of what can and cannot be included in state-based plans.”
Verma’s letter to Idaho bashed Obamacare but said that it remains the law, and “we have a duty to enforce and uphold the law.”
She went on to say that Idaho may not be “substantially enforcing” the Affordable Care Act and that CMS has to step in.
“This is certainly not our preference; we believe that Idaho has options within the law to meaningfully implement many of the policy proposals contained in the bulletin,” Verma said, referring to the notice sent to health insurers outlining new plans.
Idaho proposed to allow insurers to sell plans on Obamacare’s exchanges that allow certain customers to be charged more based on their pre-existing conditions if they didn’t have coverage for the previous year. Idaho also wouldn’t require coverage for certain health benefits such as dental care or children’s vision.
Verma said the proposal doesn’t abide by the law. If the state doesn’t fix the issue, CMS could notify insurers in the state to submit policies and rates for the agency to review instead of the state.
It also could send a cease-and-desist letter to any insurer that received approval from the state to sell plans that don’t comply with Obamacare.
Idaho’s Blue Cross Blue Shield plans to sell plans under the Idaho proposal.
The state is considering “all possible options.”
Cameron recently told the Washington Examiner that the state could sue the Trump administration if it denies the proposal.
