Short-Term Health Plan Challenge Paused Pending Trump Rulemaking

A Texas federal judge paused a lawsuit over a Biden-era rule limiting short-term health plans after the Trump administration said it plans to revisit the regulations.

The American Association of Ancillary Benefits sued over the rule in August 2024, after the Biden administration regulation capped “short-term, limited duration insurance” plans at four months. The plans are often cheaper but lack consumer guardrails like coverage for pre-existing conditions.

Judge Sean D. Jordan of the US District Court for the Eastern District of Texas suspended the case Monday, instructing the Health and Human Services, Labor, and Treasury departments to provide a timeline ...