WASHINGTON, D.C. – Reps. Earl L. “Buddy” Carter (R-GA), Vern Buchanan (R-FL), Dan Crenshaw (R-TX), Lloyd Smucker (R-PA), Rick Allen (R-GA), Mike Kelly (R-PA), and Julia Letlow (R-LA) today introduced the Healthcare Freedom and Choice Act, a bill that reinstates a Trump-era policy which increases health care options and lowers costs for Americans, following the Biden Administration’s repeal of the rule in 2024.
This bill reinstates individuals’ access to short-term, limited-duration insurance (STLDI) plans for up to 36 months, an increase from the Biden Administration’s rule limiting access to 4 months. STLDI provides Americans with affordable, temporary health coverage options. For millions of Americans, STLDI is the only option for filling a gap in health insurance coverage.
“Limiting Americans’ access to health care is never good policy, particularly during a cost-of-living crisis courtesy of the Biden-Harris Administration. I’m proud to lead this effort ensuring that health care is accessible and available to all patients in need and will continue working hand-in-hand with the incoming Trump Administration to Make America Healthy Again,” said Rep. Carter.
“The Biden administration’s rule limiting Americans’ heath care choices is misguided and costly. Rising health insurance costs are crippling small business owners and families with soaring premiums, forcing Americans to pay for more expensive health insurance. Americans deserve to have more options on the table that are affordable for them and their families. I look forward to working with Congressman Carter and the incoming Trump administration to rescind this and other ill-advised Biden administration health care policies to ensure that Americans can make personal decisions about their own health care,” said Rep. Buchanan.
“The first Trump Administration expanded plan offerings by removing unnecessary federal requirements around short-term health insurance. The idea is simple: if you need comprehensive long-term coverage, you get comprehensive long-term coverage. If you need short-term insurance—maybe you’re between plans or young and healthy—get short-term insurance,” said Rep. Crenshaw. “I’m glad we’re taking this first step to reclined Joe Biden’s overwrought regulations and restore health care options for all Americans.”
“Americans overwhelmingly support choice in healthcare. Yet, the Biden Administration has consistently issued unnecessary rules that limit options, increase costs for consumers, and could leave more Americans uninsured. I am proud to cosponsor Representative Carter’s Healthcare Freedom and Choice Act, which would restore a Trump-era policy giving hardworking taxpayers additional options and autonomy for short-term care. I look forward to working with the Trump Administration to bring commonsense, consumer-driven reforms to our nation’s healthcare system,” said Congressman Allen.
“Lawmakers should work to make health care more affordable for Americans, not more expensive. This legislation would expand health care freedom and reverse this problematic and costly Biden administration measure. I look forward to working with the incoming Trump administration to improve health care access and affordability,” said Rep. Mike Kelly (R-PA), Chairman of the Ways & Means Subcommittee on Tax.
The bill boasts support from: America First Policy Institute, Americans for Prosperity (AFP), National Federation of Independent Businesses (NFIB), Competitive Enterprise Institute (CEI), The LIBRE Initiative, Health Benefits Institute, Heritage Action, and several additional organizations.
“We applaud Congressman Carter and the cosponsors of this timely and much-needed legislation because it restores an affordable health insurance option that all Americans should have, but which was callously ripped away by the Biden Administration. Thanks to Obamacare and other costly government mandates, Americans today suffer from a critical lack of affordable health care options. For the three million Americans who relied on them before the Biden Administration moved to eliminate them, short term health plans offered a welcome alternative to costly Obamacare-style coverage. Short-term plans provide good, comprehensive benefits. They're flexible, portable, and available year-round. And they're affordable, typically costing 50% to 80% less than a traditional, Obamacare-style plan. For families struggling with the high cost of health care, a short-term plan can be a life-saver. No wonder 78 percent of Americans tell us they support the availability of this affordable option. Our thousands of activists across the country will be working to enact this bill because it promotes a Personal Option -- hassle-free health care you can afford,” said AFP Senior Health Policy Fellow Dean Clancy.
“Minority communities already face significant challenges with reliable access to health care and the Biden administration exacerbated the problem when it chose to limit access to short-term health insurance plans. This legislative effort protects patient choice at a time when Americans are desperate for more options to meet their health care needs. Fortunately, Rep. Carter stands for greater options and flexibility not just for the nearly 1 in 10 of his constituents that are Latino but for all Americans,” said Isabel Soto, Policy Director, The LIBRE Initiative.
“The National Federation of Independent Business (NFIB) applauds Representatives Buddy Carter, Vern Buchanan, and the cosponsors for their leadership in introducing legislation to repeal the Administration's harmful short-term limited duration (STLDI) insurance regulation, which severely restricts health care choices for small business owners. At a time when employers are acutely struggling with unsustainable health care costs and diminished options, small businesses need flexible, affordable, and predictable health care options. This legislation is an important step toward restoring health care choice and addressing a significant operational challenge that has plagued Main Street for nearly 40 years,” said Josselin Castillo, Principal, Federal Government Relations.
“The 2018 Trump administration rule liberalizing the availability of short-term, limited-duration health insurance plans was an important step toward providing Americans with more and less expensive choices for their health insurance. The Biden administration rule repealing the Trump rule was a step backward, forcing Americans to purchase more expensive health insurance than they want or need. Congressional efforts to rescind the Biden rule will go a long way toward restoring Americans' ability to choose the insurance plans that work best for them,” said CEI Senior Fellow Joel Zinberg.
“Fixed indemnity and short-term limited duration coverage are important products to consumers. States have long regulated these products, and the Biden administration rules not only interfered with state regulation but would have eliminated consumer choice. The Health Benefits Institute applauds this bill for putting consumers first, allowing them to extend coverage, and protecting them from potentially exorbitant, unexpected healthcare costs,” said J.P. Wieske, Executive Director of the Health Benefits Institute. “We encourage Congress to act swiftly and pass the bill so President Trump can sign it before another American is forced to go without insurance.”
“The Biden administration proved over and over again that it was allergic to making Americans’ health care more affordable and easier to access. Biden’s rule reducing short-term health plans was an abuse of authority that drained Americans’ finances and hurt their ability to stay covered. Extending short-term, limited-duration health plans gives Americans more freedom to afford the care they need. Heritage Action encourages members of Congress who support easier access to health care to effectively rescind the Biden administration’s overreach by supporting the Healthcare Freedom and Choice Act,” said Heritage Action Executive Vice President Ryan Walker.
Read full bill text here.
Background
In 2018, the Trump Administration issued a rule increasing the duration a person could access short-term health plans for up to 36 months.
In April 2024, Biden finalized a rule that repeals the Trump-era policy and decreased the period a person can access short-term insurance to four months.
