The Washington D.C. Department of Insurance, Securities and Banking (DISB) announced that it will not permit carriers to continue renewing non-Patient Protection and Affordable Care Act (PPACA)-compliant health plans for policy years starting between Jan. 1 and Oct. 1, 2014.
It joins other jurisdictions, namely the large or marquee Demcratic states of New York, Massachusetts and California, to reject the Administration’s one-year extension for health care policies that do not meet PPACA standards in the face of outcries over policy cancellations.
It made its decision after a review of many elements of the health marketplace, and concluded that the future premium rate impact of the transitional policy would be higher for D.C. residents than continuing implementation as intended.
“The department carefully considered all factors involved in this decision — District residents, the industry and the unique characteristics of our market — and concluded that there are greater benefits to continuing the District’s Affordable Care Act implementation efforts as planned,” stated Chester A. McPherson, interim DISB commissioner. “The department believes this approach provides more certainty for residents and carriers by subjecting all health plans to the same standard as outlined in the law.”
The softer-worded and more time-ripened rejection of President Obama’s decision to delay enforcement of adhesion to the Essential Health Benefits to allow more people to keep their current, substandard plans comes a little more than a week after the former commissioner William White raised questions about the effect of an extension on the city’s own health care exchange.