President Barack Obama apologized in an NBC News interview Thursday for the cancellation of thousands of people's health insurance under the Patient Protection and Affordable Care Act.
He promised the federal government will work to find a solution for people whose plans are being canceled and who will face higher premiums not offset by government subsidies for new coverage.
Non-grandfathered policies — plans that went into effect or underwent certain changes after the PPACA became law in March 2010 — must meet new coverage requirements. Under the PPACA, individual health plans must cover "essential benefits" such as prescription drugs, mental health services and maternity care. Insurers must also cap consumers' annual expenses.
Many insurers are discontinuing plans that don't meet the reform law's standards. Various companies are dropping plans that cover sizeable chunks of their individual markets. Florida Blue is ending about 300,000 policies, 80 percent of its individual policies in the state. Kaiser Permanente in California has sent cancellation notices to approximately 160,000 people who make up half of its individual business in the state.
In response to the cancellations, Republicans have criticized President Barack Obama for not keeping his promise that people could keep their current health insurance plans under the PPACA. During a speech in Boston last week, the president revised his promise, stating the "vast majority" of people — but not everyone — will be able to keep their old health insurance coverage. He said relatively few people will be forced off their plans and accused his detractors of "grossly misleading" the public.
More Articles on Health Insurance Coverage:
AHIP Explains Health Plan Cancellations Under PPACA
Obama Revises Promise: "Vast Majority," But Not All, Can Keep Health Plans
White House Under Fire as Insurers Cancel Plans Under PPACA