eHealth CEO Scott Flanders Applauds the Trump Administration’s Proposed Rule to Expand the Duration of Short-Term Health In...
February 20 2018 - 11:45AM
Business Wire
Scott Flanders, CEO of eHealth, Inc. (Nasdaq: EHTH)
(eHealth.com), a leading private online health insurance exchange,
today applauded the Trump administration’s proposed rule to reverse
an Obama-era limit to the duration of short-term insurance
plans.
“This proposed rule is designed to give consumers who are
struggling with costs important choices in the health care market.
Short-term plans provide consumers who might otherwise go uninsured
with a valuable measure of protection at an affordable price,”
Flanders said.
The administration’s proposed rule, which would allow the
duration of short-term plans to extend up to less than 12 months,
would replace an Obama-era regulation that restricted their
duration to a maximum of 90 days. The old rule was intended to
improve the quality of the risk pool among consumers shopping for
ACA plans and help keep the price of major medical health insurance
low.
“While the authors of the Affordable Care Act were well
intentioned, the balanced risk pools they envisioned never came
into being. Too many people were simply priced out of the market.
This proposed rule reflects an understanding of that reality, and
creates an alternative for consumers who can’t afford an
ACA-compliant plan,” Flanders said.
“These plans serve an important function for consumers
transitioning between jobs and employer-based health insurance.
Extending the duration of short-term plans would offer relief,
security and peace of mind for many consumers, particularly those
who aren’t able to access subsidies for Obamacare-compliant plans,”
Flanders said.
An eHealth analysis of shopping trends among its customers
across the country found short-term coverage could, on average, be
purchased for about a quarter of the cost of Obamacare-compliant
plans for individuals and families. For short-term coverage, the
average monthly premium is $110 for individuals and $267 for
families. By contrast, the average monthly premium for
Obamacare-compliant major medical health insurance plans is $440
for unsubsidized individuals and $1,168 for families.
“Short-term plans don’t offer the same benefits as major medical
plans. They are significantly less expensive for a reason, and
we’re committed to explaining to consumers precisely what they are
and are not buying as they shop for the most appropriate option for
themselves and their family,” said Sean Malia, Senior Director of
Carrier Relations at eHealth.
About eHealth
eHealth, Inc. (NASDAQ: EHTH) owns eHealth.com, a leading private
online health insurance exchange where individuals, families and
small businesses can compare health insurance products from
brand-name insurers side by side and purchase and enroll in
coverage online and over the phone. eHealth offers thousands of
individual, family and small business health plans underwritten by
many of the nation's leading health insurance companies. eHealth
(through its subsidiaries) is licensed to sell health insurance in
all 50 states and the District of Columbia. eHealth also offers
educational resources, exceptional telephonic support, and powerful
online and pharmacy-based tools to help Medicare beneficiaries
navigate Medicare health insurance options, choose the right plan
and enroll in select plans online or over the phone through
Medicare.com (www.Medicare.com), eHealthMedicare.com
(www.eHealthMedicare.com) and PlanPrescriber.com
(www.PlanPrescriber.com).
For more health insurance news and information, visit
eHealth's Consumer Resource Center.
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For media inquiries, please contact:DMA Communications
for eHealth, Inc.Sande Drew,
916-207-7674sande.drew@ehealth.comoreHealth, Inc.Lisa Zamosky,
650-864-6032lisa.zamosky@ehealth.com
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