November 14th, 2013
09:53 AM ET
9 months ago

First on CNN: Obama to push fix for insurance cancellations

[Breaking news update 11:55 a.m. ET]

Sources close to the insurance industry tell CNN's Gloria Borger that it looks like insurance companies will cooperate with President Barack Obama's proposed solution to the problem of health care plan cancellations due to Obamacare.

[Original story posted 11:03 a.m. ET]

(CNN) - President Barack Obama will lay out an administrative solution to address the problem of people getting cancellation notices from their health insurance providers due to the Affordable Care Act, a senior Democratic source familiar with the plan tells CNN's Chief Congressional Correspondent Dana Bash.

Obama will deliver remarks at 11:35 a.m. ET in the White House Press Briefing Room, the White House announced Thursday morning.

The plan will in part call for insurance policies to be renewed for one year for those who already have insurance policies in the individual market, the source said.

If an insurance company does renew a substandard plan, it would be required to do two things. First, it would have to notify the policy holder of alternative coverage options. Second, the company would have to disclose all of the benefits a policy holder will lose if she keeps an existing substandard plan.

The source noted the President may disclose additional details.

White House says Obamacare site improving, enrollment off sharply

In addition, the source said the President would allow state insurance commissioners to decide on their own to not permit this renewal.

It's worth noting, however, that there are some states - including Virginia, Kentucky and Idaho - that require all plans in their state to comply with Affordable Care Act standards.

White House officials get earful from Democrats on Obamacare

Even though the President is about to announce the fix, House Democrats are planning to unveil their own legislative proposal that will be offered as an alternative during a procedural vote on the House GOP bill tomorrow, according to two senior House Democratic aides.

“It's back up,” one of these aides told CNN. “We want to have suspenders and a belt.”

This will allow members of Congress to be on the record voting for a solution.

Poll: Obama approval ratings drop, Americans say he's not trustworthy

When selling Obamacare, the President repeatedly assured Americans they would be able to keep their plans if they liked them. However, many Americans have been getting dropped from their providers because their existing policies don't work with the new regulations.

Obama has since apologized for people losing their coverage and pledged to find a solution.

Many in Congress avoiding health care exchanges

- CNN’s Deirdre Walsh and Mark Preston contributed to this report.


Filed under: President Obama • White House
soundoff (807 Responses)
  1. gahh

    Americans calling Obama untrustworthy, I guess that means the party of trust, is the Republicans? People are forgetting one thing, the Republicans hate poor people, and cut everything that has to do with poor people, Obama giving insurance to poor people, was a No by the Republican party, from day one.
    Not everybody has a spouse working for Goldman Sachs, that can provide insurance to spouses, like Ted Cruz has.
    Obama will get this mess straightened out. Don't count on Cruz and the GOP, to help you, on anything.

    November 14, 2013 06:55 pm at 6:55 pm |
  2. liz2557

    President Obama said we would pay 2500 less.
    My family is going to pay 5617.00 more plus 4000 deductible. Max out of pocket is 12700. 20 % co pay. We don't qualify for a tax payer subsidy.
    Now we can't afford it.

    It is a huge mess and the Democrats are now running scared because they don't want to lose their positions of power. How disgusting. They lied and now that it has blown up they are terrified out being kicked out of office. Obama and his party have no idea how to fix this.

    November 14, 2013 07:26 pm at 7:26 pm |
  3. luke,az

    @Doug

    "Hey Luke,
    I can read, there was nothing rotten about my policy or my insurance company. It didn't cover things I didn't need, what makes that rotten? Go read your policy and stop believing the rhetoric you hear on TV."

    Doug, you may be able to read but you obviously don't understand ObamaCARE. If you want to continue to pay higher premiums that's your choice. Go to healthcare.gov and compare your policy to your own policy. Give it a try. What do you have to lose but more of your hard earned money.
    .

    November 14, 2013 08:28 pm at 8:28 pm |
  4. asokasus

    In case anyone was wondering how Obama could wave his magic dictator's wand and "allow" insurance companies to offer non-compliant (illegal) policies. He can't. Not really. He can't make the policies legal. But what he CAN do is tell the insurance companies he won't prosecute them for offering illegal policies. So Obama is telling the insurance companies: "Don't worry, it's OK to issue illegal policies because I promise my administration won't prosecute you." In other words, Obama can't make the policies legal, so he's encouraging the insurance companies to break the law.

    So encouraging the insurance companies to break the law is Obama's big fix! So how's that for great health insurance reform? Oh, yeah, and what a wonderful way to govern the country: encourage law-breaking. Given the example this President sets, why should anyone else feel compelled to follow the law about anything?

    November 14, 2013 11:59 pm at 11:59 pm |
  5. JS

    There are many things wrong with this article. First the Chairman of the Board of the National Board of Insurance came out and flatly stated that the insurance companies will not comply with Obama's wishes because it would be breaking the law, and if they did it would destabilize insurance world wide. 2nd it is illegal for insurance companies to cancel your insurance as per HIPPA regulations sec. 2742. 3rd Obama never apologized to people for loosing their coverage. What he said was, I'm sorry you believed what I said. Thereby thumbing his nose at Americans in disdain once again.

    November 15, 2013 01:49 am at 1:49 am |
  6. daviddavid

    the Republicans hate poor people, and cut everything that has to do with poor people........WOW some people really believe that, how sad.
    We have wifes and daughters, and we want what is best for them. This country is so divided thanks to Mr Obama.

    November 15, 2013 09:02 am at 9:02 am |
  7. Rick

    How is it that for the many, many months that Obama declared that health care policy holders would not lose their current policy, not one insurance executive picked up the phone and said, uh, no Barack that is not the case? He was constantly in the public and on the news stating what is now a supposedly "known" untruth about the way the health care plan would work. Where is the communication between the parts in this thing? Is there any? Was there any?

    November 15, 2013 09:48 am at 9:48 am |
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