Health+Benefits

Association Health Plans: What’s Next?

June marked the implementation of a regulation focusing on Association Health Plans (AHPs) and the benefits they may offer small businesses and self-employed individuals within the same industry or profession.
By Katie King Posted on August 30, 2018

June marked the implementation of a regulation focusing on Association Health Plans (AHPs) and the benefits they may offer small businesses and self-employed individuals within the same industry or profession. Click here for a breakdown of this final ruling by our legal team at Steptoe & Johnson.

The Council Perspective: AHP expansion rests on the idea that these groups will come together to buy more affordable health insurance as an alternative to the ACA. However, AHPs have historically been riddled with scandal, resulting in the creation of state-specific regulations aimed at avoiding insolvency, higher premiums and fewer plan choices.

Notably, the U.S. Department of Labor regulation does not alter any state authority to regulate multiemployer welfare arrangements (MEWAs), of which AHPs are one type. Consequently, whether AHPs gain any traction will likely be up to the states and how they choose to regulate the plans (12 states have already filed lawsuits aimed at striking down the new regulation). In addition, professional and trade associations, small businesses and other groups will have to wait to determine if insurance carriers choose to offer AHP plans at all. Thus, brokers looking to offer AHPs are operationalizing strategies in an uncertain environment.

Katie King Vice President, Health Policy & Strategy, The Council Read More

More in Health+Benefits

My GLP-1 Journey
Health+Benefits My GLP-1 Journey
While the insurance industry considers whether to cover the drugs for weight los...
Health+Benefits Untangling Prior Authorization
Q&A with Dr. Jack Resneck Jr., Chair of the Department of Dermatology, Universit...
The State of Benefits Satisfaction
Health+Benefits The State of Benefits Satisfaction
Survey results from employee benefits brokers and employers on healthcare costs,...
Five Vision Care Trends to Watch
Health+Benefits Five Vision Care Trends to Watch
Brokers can advise clients on the new possibilities for eye care and how vision ...
Sponsored By EyeMed
No Rest for the Weary
Health+Benefits No Rest for the Weary
The Trump administration has partially stayed federal mental...
The Financial Risk Hiding in Plain Sight
Health+Benefits The Financial Risk Hiding in Plain Sight
Brokers can elevate their client advisory role by addressing...