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White House Suspends Major Consumer Protection in ACA

hite House Suspends Major Consumer Protection in ACA

Many Key Features of New Law Delayed by White House

(Washington, D.C.) – This week it was reported that the Obama Administration has elected to suspend another provision of the Affordable Care Act (also called Obamacare). Under the postponement, an annual cap on out-of-pocket expenses designed to protect insurance customers from high costs, will be delayed until 2015, even though some consumers may face thousands more this year to cover medical expenses.

This Obama Administration had previously delayed Medicare cuts that were to ensure the law did not add to the deficit, much of the small business exchange, and the mandate requiring large employers to offer insurance to their workers. The Administration has also allowed Members of Congress and Congressional staff to receive substantial subsidies to purchase insurance, which are not provided to other Americans.

The White House has not suspended the individual mandate, which requires Americans to purchase coverage or face escalating penalties.

Daniel Garza, Executive Director of The LIBRE Initiative released the following statement:

"When Congress barely approved the Affordable Care Act on a narrow, party-line vote, there were some critical provisions needed to win support. It applied to Members of Congress. It required large employers to offer insurance. It included caps on consumer costs. It offered choices to small businesses. All of those features of the law – and others – have now been unilaterally suspended by the White House. Today a key advisor to the President even predicted that more unilateral changes will be made.

This is unfair. The American people were sold a bill of goods – which is why they do not support it. If so many parts of the law are not ready to go into effect, the whole law should be delayed – until Congress and the President can fix it or repeal it."

For interviews with a LIBRE representative, please contact: Judy Pino, 202-578-6424 or Brian Faughnan, 571-257-3309.