California Sues To Block Trump's Executive Orders On Health Care
California officials aren't taking President Trump's executive orders on the Affordable Care Act lying down.
California is joining 17 other states in a federal lawsuit challenging the administration's most recent actions.
One of the president’s orders is designed to allow broader use of association health plans and short-term insurance. These products do not include all of the consumer protections from the Affordable Care Act.
California Insurance Commissioner Dave Jones said California has had a bad experience with these kinds of products.
“The plans didn’t pay claims in many cases, they had inadequate reserves, there were allegations of fraud and insolvency," he explained. "So, we’ve seen this movie before and it wasn’t a good one.”
In another executive action, Trump said his administration will stop paying cost-sharing reductions that help cut out-of-pocket expenses for low-income consumers.
Jones pointed out Congress did not repeal or replace the ACA.
“And so the president should do his job and implement that act," he said. "Instead, he’s doing everything within his power and actually beyond his authority to sabotage the Affordable Care Act.”