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Executive Order Issued to Strengthen the ACA

Feb 16, 2021 Decorative Image

President Joe Biden issued an executive order on January 28, 2021, that is intended to strengthen Medicaid and the Affordable Care Act (ACA). This executive order directs federal agencies to review and revise existing policies to determine whether they undermine the ACA.

Exchange Special Enrollment Period

This executive order directs the Department of Health and Human Services (HHS) to consider establishing a special enrollment period through Federally Facilitated Exchanges due to the coronavirus (COVID-19) pandemic.

Review of Existing Guidance

The order also directs HHS, the Treasury and the Department of Labor to review all existing regulations and guidance, and other agency actions to determine whether they are inconsistent with the policy of the executive order, and consider whether to suspend, revisit or rescind those actions.

Specifically, the executive order requires these agencies to review:

  • Policies or practices that may undermine protections for people with preexisting conditions, including COVID-19 complications
  • Demonstrations and waivers that may reduce or undermine coverage under Medicaid or the ACA
  • Policies or practices that may undermine the Exchanges or the health insurance markets
  • Policies or practices that may present unnecessary barriers to Medicaid or ACA coverage, including for midyear enrollment
  • Policies or practices that may reduce the affordability of or financial assistance for coverage

The executive order also revokes two prior executive orders issued by the Trump administration. The first, issued January 20, 2017, was intended to minimize burdens of the ACA until it could be repealed and replaced. The second, issued October 12, 2017, relaxed regulations on association health plans.

What Is an Executive Order?

An executive order is a broad policy directive that directs federal agencies to consider new regulations or guidance to implement the order’s policies. The order itself does not make any changes to existing regulations. As a result, the executive order’s specific impact will remain largely unclear until agencies can issue further guidance.

Reach out to your local Hylant representative for further information.

The above information does not constitute advice. Always contact your employee benefits broker or trusted adviser for insurance-related questions.