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Trump Executive Order

InTheLight

Well-Known Member
Site Supporter
From what I understand after hearing the tail end of a Rand Paul interview discussing this, the buying of insurance across state lines only applies to employees of corporations that get their health insurance coverage from their company and if their company has operations in multiple states. He gave the example of Chick-Fil-A. These Chick-Fil-A employees from different states could band together and form a larger group going across state lines rather than being limited to the group in their state only. The trick is to buy insurance for the whole multi-state group from a carrier in one of the states that had the best deal. Supposedly this can be done under some provision of the 1974 ERISA law. Indeed COBRA policies, which allow laid off workers to continue group rate health insurance is covered under ERISA.

Rand thinks that Trump could issue an executive order to allow individuals, not necessarily employees of corporations, to form groups from multiple states and buy insurance from a health insurance company in another state.

This sounds great except of a couple of things. No one knows if it's legal. It's executive order-legislation via the pen of the President. There would certainly be legal challenges. Finally, this idea of individuals banding together and buying insurance as a group has been discussed for at least 30 years, but nothing has ever come of it.

Still, it would be a great political maneuver for Trump, and it might lead to lower policy premiums if it survived all the challenges and roadblocks.
 

carpro

Well-Known Member
Site Supporter
This sounds great except of a couple of things. No one knows if it's legal. It's executive order-legislation via the pen of the President.

All the exemptions, stays and changes Obama made, illegally in my opinion, to Obamacare are still in force.
 
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