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Pennsylvania Governor Josh Shapiro has joined a multistate lawsuit challenging a new health coverage rule introduced by the Trump Administration. The lawsuit, filed by a coalition of attorneys general from 21 states, argues that the rule will create significant barriers to obtaining healthcare under the Affordable Care Act (ACA). According to the Trump Administration's own estimates, the rule could result in up to 1.8 million people losing their health insurance.
The rule, issued by the U.S. Department of Health and Human Services (HHS) and Centers for Medicare & Medicaid Services (CMS), introduces several changes to the ACA marketplaces. These include new verification requirements, an automatic monthly charge for automatically reenrolled consumers with $0 premiums, and a shortened open enrollment period. The rule also excludes gender-affirming care as an essential health benefit, potentially increasing costs for states to cover these services.
Attorney General William Tong of Connecticut described the rule as "arbitrary and capricious," arguing that it violates the Administrative Procedure Act. The coalition is seeking a court stay to prevent the rule from taking effect before its scheduled implementation on August 25.
California Attorney General Rob Bonta emphasized the potential harm of the rule, stating that it would impose burdensome requirements and drive up healthcare costs. The lawsuit aims to protect access to affordable healthcare and prevent the negative impacts of the rule on millions of Americans.
The attorneys general argue that the rule will significantly harm states and their residents by increasing healthcare costs and reducing access to insurance. They contend that the rule contradicts the goals of the ACA, which was enacted in 2010 to increase the number of Americans with health insurance and decrease healthcare costs.