Obamacare announced a remedy for the healthcare rollout; President Obama stated that his administration would allow health insurers to keep offering plans cancelled under the Affordable Healthcare Act for one year, fixing what he called a “fumbled rollout”
He stated that,“The bottom line is insurers can extend current plans that would otherwise be cancelled into 2014 and Americans whose plans have been cancelled can choose to re-enroll in the same kind of plan.”
In order for them to renew, they “must inform consumers about protections the renewed plans do not include, and notifying customers that they have the option to purchase plans with better coverage with possible tax subsidies on the new marketplace.”
Insurance companies are not required to renew existing plans, but have the option to reach to those who have received the cancellation notices and offer them the option to renew their plans for one year.
However, existing plans cannot be sold to new customers, and the companies renewing plans must inform their consumers about the protections the plans do not include, and inform them that they have the option to purchase plans with better coverage. The President stated:“So, if you received one of these letters, I’d encourage you to take a look at the marketplace, even if the website isn’t working as smoothly as it should be for everybody yet, the plan comparison tool that lets you browse costs for new plans near you is working just fine. This fix won’t solve every problem for every person, but it’s going to help a lot of people.”
This was all a response to the statistic that “the number of people who signed up for health coverage through new state and federal insurance exchanges last month was dwarfed by the number whose policies have been canceled as a result of the 2010 Affordable Care Act.”
What do you think? Is this a step toward the right direction? Or do more measures need to be taken?