In a memo released yesterday, the Centers for Medicare & Medicaid Services (CMS) announced that they have extended the transitional health insurance policy to any plans for policy years beginning up until October 1, 2018.
The extension comes in the midst of a turbulent week for health care policy, with many GOP representatives facing opposition from constituents over the lack of a stable plan for replacing the ACA. The policy extension will allow those who have renewed non-ACA compliant policies continuously under the transitional policy since 2014 to continue to renew them up until the 2018 cutoff.
With many Americans in an uproar about the possibility of losing their health care coverage, the goal of the extension is to give states a degree of control over their health care markets while also lessening immediate fears about losing coverage:
We will work with issuers and States to implement this policy, including options such as allowing policy years that are shorter (but not longer) than 12 months or early renewals with a January 1, 2018 start date. This approach will facilitate smooth transitions from transitional coverage to Affordable Care Act-compliant coverage, which requires a calendar year policy year in the individual market.