Labor Department Health Care Regulation will force employees to switch health care providers

Government estimates up to 69% of all employer health plans will cease to exist

August 16th, 2010, Fairfax, VA—Calling a proposed Labor Department Obamacare rule, “the smoking gun showing that the Obama Administration lied when they claimed that people would be able to keep their health insurance and doctor’s choice,” Americans for Limited Government President Bill Wilson urged Labor Secretary Hilda Solis to rescind the rule in comments submitted to the Department of Labor today.

The interim rule sets the requirements for current health insurance plans to be grandfathered in under the law. Within the interim rule, Secretary Solis affirmatively declares that, “These interim final regulations will likely influence plan sponsors’ decisions to relinquish grandfather status.”

ALG President Bill Wilson’s comments reminded Labor Secretary Hilda Solis of President Obama’s rhetoric during the debate over passage of the law where he said, “if you like your health plan you can keep it,” promising that nothing in the health reform law would force businesses or consumers to change health plans or change their doctor.

In his submitted comments, ALG’s Wilson asks the Secretary, “how are people supposed to ‘keep it’ if ‘it’, i.e., their pre-existing plan, no longer exists?”

Solis admits in the Interim Rule that by the end of 2013 up to 69% of all employer health plans will lose their grandfathered status under the law.

Arguing that the decision on whether a health plan should be grandfathered under the law should be viewed expansively by the government to ensure that most Americans are allowed to keep the health insurance and see the doctor of their choice, Wilson urged Solis to rescind the Interim Final Rule, and to only include the statutory requirements found in the health care law as criteria for determining whether a health plan should be grandfathered.

Wilson concluded stating, “This Interim Rule is the smoking gun showing that the Obama Administration lied when they claimed that people would be able to keep their health insurance and doctor’s choice under the law.”

The comment period for the Interim rule ends today, and will be followed by a review of comments prior to issuance of final regulations.

Interview Availability: Please contact Rebekah Rast at (703) 383-0880 or at [email protected] to arrange an interview with ALG President Bill Wilson.