President Trump announced he will be signing an executive order on Thursday to undermine Obamacare after efforts to repeal and replace it failed in Congress.
Trump, who announced his plans during an interview with Fox News’ Sean Hannity on Wednesday night, tweeted about the executive order on Tuesday.
“Since Congress can’t get its act together on HealthCare, I will be using the power of the pen to give great HealthCare to many people – FAST,” Trump wrote.
The executive order will make it easier for small businesses to band together across state lines to buy insurance through association health plans, the Wall Street Journal reported.
The group plans would bypass regulations under Obamacare including the coverage of emergency services, mental health, prescription drugs, and maternity and newborn care as essential health benefits.
The Trump administration may also roll back restrictions on short-term medical insurance and allow people to buy limited protection coverage for up to a year, an official told the WSJ.
Conservatives argue Trump’s plans will boost competition and offer more options while driving down premium costs.
But critics say his plans would siphon off healthier people with the lure of low premiums and in turn drive up costs for the sick.
Larry Levitt of the Kaiser Family Foundation told NPR, “If the executive order is as expansive as it sounds and association plans are allowed to cherry-pick healthy people, it could truly cause the individual insurance market under the ACA to collapse, leaving people with pre-existing conditions without access to affordable coverage.”
Hannity on Wednesday highlighted truckers, saying the executive order would be “perfect” for them, while Trump added, “This will be fantastic. I would have done this immediately, but we were hoping for the healthcare [to pass].”