Michigan Attorney General Dana Nessel has joined forces with a coalition of attorneys general in a legal move against a Trump administration rule that critics say will strip health coverage from millions and ramp up health costs. According to a statement from the Michigan Department of Attorney General, the rule proposed by the Department of Health and Human Services (HHS) and Centers for Medicare & Medicaid Services (CMS) is set to impose barriers upon the Affordable Care Act (ACA) marketplaces, which could result in up to 1.8 million Americans losing their insurance. The group of state attorneys is suing because the rule is arbitrary and capricious and a violation of the Administrative Procedure Act (APA).
"Everyone — no matter who they are, where they live, or what they do — deserves access to affordable healthcare," Nessel stated, per the Department of Attorney General. "This access gives people the ability to care for their children, manage chronic conditions, and to live full and healthy lives." The pending rule change is anticipated to introduce a series of restrictions that will not only cause many to lose existing coverage but will also increase the financial burden on those seeking new coverage. The attorneys general stress that such policy shifts are said to create a significant financial strain on state healthcare resources, including Medicare and emergency services.
The lawsuit argues against various amendments that would alter the existing healthcare landscape, particularly concerning the proposed bureaucratic hurdles and additional verification requirements. It's also highlighted that these changes include the imposition of a monthly charge on consumers reenrolled with $0 premiums, shortening the period available for people to sign up, and removing critical gender-affirming care as an Essential Health Benefit, which would force states to foot the bill for such coverage.
With the Trump administration suggesting that the changes aim to enhance program integrity, the argument from the opposition, as outlined in the Michigan government's publication, contests that they do more harm than good, complicating the process of obtaining healthcare and increasing costs for both consumers and the states. In addition to Michigan, attorneys general from numerous states, including Arizona, California, and New York, have joined the lawsuit, alongside Pennsylvania Governor Josh Shapiro, representing the collective frustration and concern over the rule's impending consequences.
