States will be able to use Obamacare subsidies for plans that don’t comply with the Affordable Care Act’s requirements, under guidance issued Oct. 22 by the Trump administration.
The changes free up states to use federal funds to pay plans that don’t cover people with pre-existing conditions.
The guidance from the Department of Health and Human Services replaces a 2015 version drafted by the Obama administration. It takes effect immediately, but it can’t be used until 2020 because ACA premiums and plans have already been set for 2019.
“The new flexibility would provide states the option of looking at where...