President to offer fix for loss of health coverage, source says

THE-FIX-thumbnailBy Ashley Parker and Michael D. Shear

Facing dissent from his own party and growing pressure from anxious Congressional Democrats, President Obama is to propose on Thursday an administrative fix to a central element of his signature health care law, allowing Americans who are losing their health insurance coverage because of the Affordable Care Act to retain it.

A House Democrat with knowledge of the president’s plan said that the fix would allow insurance companies to renew plans that do not meet the higher standard of the new health care law for a year for existing policyholders, though they would be required to notify the policy holder of alternative available coverage options, as well any benefits they might lose by staying on their existing plan.

The president’s proposal would apply only to people who have had their existing policies already canceled — those currently without insurance would not be able to buy these old plans, said the lawmaker, who declined to be identified discussing the proposal before the president’s announcement.

State insurance commissioners would have the right to override the administrative proposal.

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