Seven states reject Obama insurance proposal
November 20th, 2013
04:45 PM ET
10 months ago

Seven states reject Obama insurance proposal

(CNN) - If you like your health insurance plan, you might still be out of luck.

At least if you live in one of the seven states that have rejected the President Barack Obama's proposal to allow health insurance companies to renew plans not in compliance with the Affordable Care Act.

The proposal was meant to help the President keep his promise to millions of Americans who have received cancellation notices from their insurance providers, and would allow companies to renew current plans for one year while people transition to the federal insurance exchange.

Because insurance is regulated differently in each state, the president's plan first requires approval from governors and state insurance commissioners, many of whom have been hesitant to make changes for 2104 so late in the year.

On Tuesday, New York became the largest state to reject the proposal. Gov. Andrew Cuomo, a Democrat, told reporters during a press conference that he doesn't think the President's fix is necessary for New York.

"We haven't had the kind of issues in New York in our exchange that they've had nationwide," Cuomo said. "Our program has actually been working well, the website has been working well, and we've had actually very good success with our program so we don't see any reason to change it now `because we're not having those types of issues."

New York joins Washington, Rhode Island, Vermont, Massachusetts, Minnesota and Indiana in rejecting the President's proposal.

Before making his decision, Democratic Gov. Mark Dayton of Minnesota received a letter from the executive director of the Minnesota Council of Health Plans, who told him that the President's fix "comes too late" and "will destabilize the market and result in higher premiums for Minnesotans."

"Your letter makes clear that making the program changes offered by the President last week would be unworkable for your members," Dayton replied, concluding that he would be directing his Commerce Department to continue to "with the plans made before last week's announcement."

Indiana Insurance Commissioner Stephen Robertson issued a scathing response to the proposal, saying that going along with the president's plan "would seriously destabilize Indiana's insurance market and create logistical chaos."

More than 20 states have yet to make an official decision, while so far 21 states have either said they will implement the proposal, or already allowed insurance companies to renew plans prior to the president's announcement.


Filed under: Andrew Cuomo • Healthcare • Indiana • Massachusetts • Minnesota • Obamacare • President Obama • Rhode Island • Vermont • Washington State
soundoff (57 Responses)
  1. Scott

    Students getting healthcare insurance for $20 a month want to keep those plans. They are learning how to think Republican.

    November 20, 2013 04:55 pm at 4:55 pm |
  2. O'drama ya Mama

    Yes New York definitely doesnt need to do anything. We already have the same standards that Obamacare requires so there really isnt much change taking effect.

    November 20, 2013 04:58 pm at 4:58 pm |
  3. Obamacare strikes AGAIN

    New York joins Washington, Rhode Island, Vermont, Massachusetts, Minnesota and Indiana in rejecting the President's proposal.
    --

    Almost all BLUE states with Democrat governors. Have they all fallen off the Obama koolaide cart?

    November 20, 2013 05:01 pm at 5:01 pm |
  4. Anthony in California

    Let me guess.. Republican Governors...

    *nothing to see here folks, move along*

    November 20, 2013 05:01 pm at 5:01 pm |
  5. A Kickin' Donkey

    It's time to go nuclear on all judicial nominations. What's the downside for Democrats? It's ZERO.

    1.) The GOP will NOT honor the same restraints when they have a simple majority. They will have the balls to do it
    2.) The Democrats will have a demographic and policy bias with voters that should allow them to hold the senate EASIER than the Republicans for the foreseeable future. They will have to execute better to not blow this advantage.
    3.) Even with a majority, the Democrats lean toward splitting the difference with Republicans. Obamacare is a REPUBLICAN sponsored / endorsed approach and the DEMOCRATS bought it virtually wholesale. The GOP attempts to Svengali Democrats into moving even more rightward by trying to relabel former "Compromise Positions" as " LIBERAL / LEFTWING. The same is true on the subject of judicial temperament.

    November 20, 2013 05:11 pm at 5:11 pm |
  6. Gurgyl

    ACA is a Law. Hospitals, greedy insurance thugs, doctors, pharmacy guys lost the game. Period.

    November 20, 2013 05:21 pm at 5:21 pm |
  7. Lisa P.

    Shouldn't the headline read "Seven states embrace Affordable Care Act, reject one year reprieve for non-compliant insurance policies"? Next year those states will be that much further ahead of the rest of us.

    November 20, 2013 05:22 pm at 5:22 pm |
  8. Cory111

    Scott posted: They are learning how to think Republican.
    One is not required a great education to learn how to say No.
    Hillary 2016

    November 20, 2013 05:27 pm at 5:27 pm |
  9. Data Driven

    Indeed, why fix what isn't broken?

    Congrats to the Dems in Congress - AND the President - for once again allowing themselves to be bullied by the GOP and their conservative media lackeys. The DSCC called me yesterday and asked me for a donation; I answered, why give money to you so that you can elect more gutless wonders? - and hung up.

    November 20, 2013 05:43 pm at 5:43 pm |
  10. Tony

    So, do people understand now that insurance companies don't want to offer these plans anymore? Even though Obama gives them a choice, they don't want to do it.

    November 20, 2013 05:50 pm at 5:50 pm |
  11. Donna

    Tony
    So, do people understand now that insurance companies don't want to offer these plans anymore? Even though Obama gives them a choice, they don't want to do it.
    ---

    Obamacare made them illegal to sell. There is no law that changes that. Obama isn't a dictator(yet). Insurance companies have been planning and restructuring these plans to be Obamacare compliant. Obama thinks he can just waive a majic wand and change everything on a whim? Every state has their own Insurance Commissioners with processes and laws of their own.

    Obama's "fix" was nothing more than a shift of the blame. He knows people can't keep their plan. Even if they do it is only for a year, then his lie comes front and center once again.

    November 20, 2013 06:01 pm at 6:01 pm |
  12. snotfair

    As a resident of Massachusetts & Governor Deval Patrick being President Obama`s friend I was surprised our state was on the list. However our mandated health insurance is working & has specific guidelines & may not allow ` The Fix`.

    November 20, 2013 06:23 pm at 6:23 pm |
  13. destroyerofeconomies

    Who dares defy the supreme leader! Blasphemy!
    Good-bye American liberalism

    November 20, 2013 06:31 pm at 6:31 pm |
  14. Tigas

    As the "train wreck" (Sen. Baucus, one of the authors of Obamacare) continues to crash on the tracks.

    November 20, 2013 06:34 pm at 6:34 pm |
  15. tooggers

    Tony these companies CAN'T offer these plans at a rate most of us can afford, I guess you got a waiver too, it's coming to light why Pres O. has a 37 percent rating, although it goes on the back page of any kool aid drinking media site you inhabit . My wife and I have 5 children and are almost 50- keep your maternity coverage thank you

    November 20, 2013 07:13 pm at 7:13 pm |
  16. hkirwin

    The Dems remind me of the family of someone I knew. During the tip off of a HS basketball game he took the tip off drove all the way to a basket and scored.....in the wrong basket. The crowd was in shock, but his family cheered their heads off and patted each other on the back.

    November 20, 2013 07:17 pm at 7:17 pm |
  17. terry

    Way to go obama you lied again oh and you care so much about the poor who cant now get health insurance youre a complete failure.

    November 20, 2013 07:26 pm at 7:26 pm |
  18. Name

    I am sick and tired of the media talking about Obamacare. Shut up and give the plan a chance to work. This takes time and I don't mean a month or two. Health care works in other countries because they realize that greed is not everythng unlike the US. Keep messing with the poor and the most powerful one in the world, GOD, will surely bring this country to its knees. He gave you a warning when Bush left office.

    November 20, 2013 07:51 pm at 7:51 pm |
  19. Victor Cuadra

    When I was in college, I had the cheap insurance plan. Cost me $20.

    It wasn't anything special, and sure, it had holes in it. But I was in my 20s, was a competitive athlete in my youth so I was in shape, and never had any major injury or illness. Why would I want to pay top dollar for an insurance I will likely never need or use?

    Expecting young kids to pay for all these services they do not need is absolutely ridiculous. Freedom of choice, and if I know I am going to be responsible with my body and life decisions (no drug/alcohol treatment needed, no unplanned pregnancies) I should not be "forced by government" to pay for those services.

    On the flip side: Why should a 50 year old man, married, who has had a vasectomy need to have maternity care on his plan? He should not be "forced by government" to pay for that service.

    This entire thing is a sham, written by a man who has no real world experience and has never had a real job in his life. It is based on ideology, not reality.

    November 20, 2013 07:59 pm at 7:59 pm |
  20. lee

    Gurgyl – "ACA is a Law. Hospitals, greedy insurance thugs, doctors, pharmacy guys lost the game. Period."

    Boy those insurance companies were screwed big time by the ACA, even though it mandates Americans to purchase insurance. And no insurer wants those nasty subsidies. That must be why they were so..... supportive of the law.

    And of course, any healthcare legislation that screws those greedy doctors, nurses, pharmacy, medical device manufacturers, and insurance companies must be a GOOD thing.

    Obamacare is a disaster. Period. People who aren't emotionally invested in protecting the president sees this.

    November 20, 2013 08:57 pm at 8:57 pm |
  21. Charles Hurst Author of The Second Fall

    A website fix isn't the answer.

    Very simple here folks.

    When one man pays so another may not that is the very definition of Marxism and each according to need. Those in "need" are to be given far less premiums than those who have made some sort of success. There is no argument that this is what Obamacare is. Trying to argue it is not that is foolish at this point and a sign of irrational anti-reason.

    I have predicted in my fiction what will happen when the entitlement class begins to roll over America. As it has happened in 1917 Russia. The result is Marxism. This is a giant first step. Patriots should find fee for service doctors and refuse to comply. I will not sign up for Obamacare not acknowledge my health status to the government on any tax form whatsoever. Neither should anyone else–yet I know the entitlement mentality in this country will be standing in line to gain benefit off the labor of others.

    Charles Hurst. Author of THE SECOND FALL. An offbeat story of Armageddon. And creator of THE RUNNINGWOLF EZINE. A true conservative's weekly.

    November 20, 2013 09:25 pm at 9:25 pm |
  22. Hank

    God Grief. What a mess. Just curious how many more tweaks and "fixes" POTUS thinks he can just whip up at whim. When he finally gets through reading the ACA law, I think he;s going to find some other imbedded economic negatives he might have wished he tweaked prior to the slam through of the law.

    November 20, 2013 09:38 pm at 9:38 pm |
  23. Robin Jones

    Mission accomplished. The President has once again shifted blame to everyone but himself.

    November 20, 2013 09:51 pm at 9:51 pm |
  24. Anonymous

    The WH was FULLY aware since MARCH that their website had problems but as usual ... stubborn Obama pushed upward and onward to launch the website anyway grossly under-estimating the consquences. Now 5 million American are uninsured and that number will grow once employers receive their mandates next year. How incredibly irresponsible and now he wants to shift the blame to the insurance comanies and the GOP. If there's one thing Obama is great at, it's that he wasn't "informed" or it's not his fault. What horrible leadership skills we have in the oval office.

    November 20, 2013 09:55 pm at 9:55 pm |
  25. Robert N. constant

    The headline of this story is misleading and negative. Whjo is writing this stuff? Carl Rove?

    November 20, 2013 10:05 pm at 10:05 pm |
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