November 14th, 2013
09:53 AM ET
9 years 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. Anonymous

    So the cost of Health Care will now increase for everyone that pay for insurance. Someone needs to make up the difference, Wait until after June 2014 when people start seeing the cost of benefits at their companies

    November 14, 2013 11:47 am at 11:47 am |
  2. Alan Jarvie

    So the President's "promise" that I could keep my plan is now a possible one-year extension, if the state of California will allow it. Mr President, I can no longer trust in a word you say.

    November 14, 2013 11:47 am at 11:47 am |
  3. The REAL Truth...

    @Solapin – The USA is supposed to be "the land of the brave and the land of the free."
    And you couldn't even quote correctly.. you must be lying to the American people? Heaven forbid.. No? But that's right wing rabid logic and faux outrage...

    November 14, 2013 11:47 am at 11:47 am |
  4. foreverflag

    He did not apologize, period. This is a scam, it is not a fix. It is a band-aid to get re-elected. This mess needs to be aborted.

    November 14, 2013 11:47 am at 11:47 am |
  5. Matt

    The law is what was passed by Congress and signed into law by the President. One man, even if he is the President, can't make changes to it after the fact. Only dictators can do that. We need a full repeal of this monstrosity. It never should have been made law and should have been struck down by the Supreme Court. We do have one more hope in getting it thrown out. A tax cannot be challenged in court until after the first time it is paid. John Roberts, in a very strange statement, called the penalty a tax, exactly what the democrats argued it was not. Since it has been ruled a tax, once it's paid the first time, can be challenged again and hopefully thrown out by the court.

    November 14, 2013 11:48 am at 11:48 am |
  6. JenA

    Well said, Babyboomer! Not to mention, the Republicans have been trying to hobble the ACA from the get go, and the Supreme Court allowing some (Republican) states to opt out of the healthcare exchanges has certainly helped to muck up the works.

    November 14, 2013 11:48 am at 11:48 am |
  7. Matt

    I wasn't aware that a President had the constitutional authority to just unilaterally change a law.

    November 14, 2013 11:48 am at 11:48 am |
  8. Dave

    The Insurance Companies have been planning this from the beginning. The Republicans knew. The Insurance company never wanted these laws. So to make the President's plan look like it's crap and not working the Insurance Companies are now dropping people on purpose as a last ditch effort to save them billions in lost money over the years. It's sickening. The Insurance Companies, Big Pharma, and Biotech companies can do whatever they want. They do it with money and schemes. It's the downfall of America. The American people are good and deserve better. All this stuff would be preserved as funny and childish if it weren't so evil and crazy. Enough is enough.

    November 14, 2013 11:49 am at 11:49 am |
  9. njx

    "The REAL Truth"??

    We were not in a depression. Bush did not leave a 17 trillion debt. Obama is the one who ballooned it. Unfortunately, you refuse to ever say anything negative about Obama no matter what he does or says. That's okay... the reckoning is coming next November. Say goodbye to the Senate.

    November 14, 2013 11:49 am at 11:49 am |
  10. markmark1

    So, a 1 year delay on the individual mandate after all? And people criticized Ted Cruz and the Republicans for demanding a delay. The administration knew this mess was coming, and on a much larger scale when the employer mandate kicks in, which is why Obama delayed the employer mandate in violation of the law via dictatorial fiat until after the 2014 election.

    November 14, 2013 11:49 am at 11:49 am |
  11. coloradom if insurance companies don't have to abide by the law that says their plan must meet certain requirements, does that mean that I don't have to abide by the law and purchase insurance?

    November 14, 2013 11:50 am at 11:50 am |
  12. jeff

    I can't believe anybody would believe this wanna be third world dictator. Back peddling LIAR.

    November 14, 2013 11:50 am at 11:50 am |
  13. bobntx

    The goal was always to put the private insurance companies out of business and acheive single payer gorvernment controlled healthcare. This not a fix but another example of moving toward that goal. Government cannot tell a private business what to sell and what to sell it for and expect them to survive.

    November 14, 2013 11:50 am at 11:50 am |
  14. John Brown

    What part of "period" does this guy not understand?

    November 14, 2013 11:50 am at 11:50 am |
  15. Brian in DC

    It was just yesterday that Jay Carney was describing this exact course of action as doing more harm than good. It's clear they have no idea what they're doing, none. And these are just the foothills.

    November 14, 2013 11:50 am at 11:50 am |
  16. jorge washinsen

    ONly the government can run a business losing money forever.

    November 14, 2013 11:50 am at 11:50 am |
  17. Robin Jones

    President Obama: "I'm trying to put the toothpaste back in the tube. If I can't, it isn't because it's a ridiculous idea. It's the insurance companies' fault that I can't do it and I'm not to blame."

    November 14, 2013 11:50 am at 11:50 am |
  18. Dave

    * perceived as funny not preserved.

    November 14, 2013 11:50 am at 11:50 am |
  19. Jmart

    When does King Obama just get to make up the rules/laws? We our a nation of laws and this has already passed and now he is making up time tables and exceptions to his cronies?

    November 14, 2013 11:50 am at 11:50 am |
  20. Lee

    One would think that this would have been thought of before the enrollment began but one might also think a working website was a thought out idea too. This all looks like a shortsighted plan with a dubious long term goal.

    November 14, 2013 11:51 am at 11:51 am |
  21. Ken

    So the President's response to "I lied to you" is "I'll let you keep the plan for one more year and then, it will still be cancelled ... we'll just require the insurance company to give you lots of documents to help obscure why it is being cancelled.". Of course the GOP is proposing that "We promised these plans would be grandfathered and by god they are grandfathered and can't be eliminated by this law ... so you can keep your plan as long as you want". Which one will the media play up as the "better" solution???

    November 14, 2013 11:51 am at 11:51 am |
  22. The Truth

    Let's see, it was public and clear information the ACA would require insurance to cover various procedures and exams that were not in standard coverage before. The President spoke of this many times as a selling point to America to get the bill passed. Anyone with half a brain would know a person who does not have these coverages as part of their insurance would have their plans canceled since they do not meet the minimum standards of the ACA and would need new policies to cover the new requirements. Insurance 101.

    For those who were against the ACA and your policy is now canceled, I do feel sorry for your situation. For those who supported the ACA and your pollicy is now canceled but were too dumb to figure this simple fact out from the start I only have laughter for you. You made your bed, don't like it tough, now sleep in it.

    But now the bigger issue is the mess created by the stupidity. All insurance policies were priced to the ACA requirements. If we now grandfather a group even for just one year it screws up all the financials. My costs have gone up, as I predicted. I refuse to pay any additional money to fix this mess, those who created it and those who supported better chip in every single penny to remedy it and also compensate all who were against it for their trouble as well.

    November 14, 2013 11:51 am at 11:51 am |
  23. clymer

    Scrap this law. This entire Obamacare has been a sham and fiasco since it's inception. Obama lied to so many millions of American's and the entire process has been riddled with lies. Obama should be impeached.

    November 14, 2013 11:51 am at 11:51 am |
  24. Roy

    So those who voted for this inexperienced ideolouge are finally coming around. Surprise, surprse. Your experiment failed.

    November 14, 2013 11:51 am at 11:51 am |
  25. coyoteliberty

    Too little, too late. Pure and simple. After months of telling us that the ACA couldn't be delayed, changed or tampered with, after pushing a government shutdown built around that very point, Obama now wants to back peddle?

    Hit the Democrats hard in 2014, folks. Don't let this skate on this.

    November 14, 2013 11:52 am at 11:52 am |
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