I 

116TH CONGRESS 

1ST SESSION H. R. 1143 

To amend title XXVII of the Public Health Service Act to require a health 

insurance issuer offering short-term limited duration insurance to include 

a standardized disclosure and certain information with respect to coverage exclusions and premium variations in marketing, application, and 

enrollment materials distributed in connection with such insurance and 

prohibiting the sale of such insurance during certain periods. 

IN THE HOUSE OF REPRESENTATIVES 

FEBRUARY 11, 2019 

Ms. ESHOO introduced the following bill; which was referred to the Committee 

on Energy and Commerce 

A BILL 

To amend title XXVII of the Public Health Service Act 

to require a health insurance issuer offering short-term 

limited duration insurance to include a standardized disclosure and certain information with respect to coverage 

exclusions and premium variations in marketing, application, and enrollment materials distributed in connection 

with such insurance and prohibiting the sale of such 

insurance during certain periods. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 


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1 SECTION 1. SHORT TITLE. 

2 This Act may be cited as the ‘‘Educating Consumers 

3 on the Risks of Short-Term Plans Act of 2019’’. 

4 SEC. 2. REQUIRING A HEALTH INSURANCE ISSUER OFFER5 ING SHORT-TERM LIMITED DURATION INSUR6 ANCE TO INCLUDE A STANDARDIZED DISCLO7 SURE AND CERTAIN INFORMATION WITH RE8 SPECT TO COVERAGE EXCLUSIONS AND PRE9 MIUM VARIATIONS IN MARKETING, APPLICA10 TION, AND ENROLLMENT MATERIALS DIS11 TRIBUTED IN CONNECTION WITH SUCH IN12 SURANCE AND PROHIBITING THE SALE OF 

13 SUCH INSURANCE DURING CERTAIN PERI14 ODS. 

15 (a) IN GENERAL.—Subpart II of part A of title 

16 XXVII of the Public Health Service Act (42 U.S.C. 

17 300gg–11 et seq.) is amended by adding at the end the 

18 following new section: 

19 ‘‘SEC. 2730. INFORMATION REQUIRED TO BE INCLUDED IN 

20 MARKETING, APPLICATION, AND ENROLL21 MENT MATERIALS DISTRIBUTED IN CONNEC22 TION WITH SHORT-TERM LIMITED DURATION 

23 INSURANCE; LIMITATION ON ENROLLMENT 

24 PERIOD. 

25 ‘‘(a) PROVISION OF INFORMATION.— 


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1 ‘‘(1) IN GENERAL.—A health insurance issuer 

2 offering short-term limited duration insurance shall 

3 include in any marketing, application, or enrollment 

4 materials distributed by such issuer in connection 

5 with such insurance, in a prominent location set 

6 apart from other information— 

7 ‘‘(A) the standardized disclosure estab8 lished by the Secretary under paragraph (2); 

9 and 

10 ‘‘(B) a list of all medical conditions, in11 cluding both physical and mental health condi12 tions— 

13 ‘‘(i) which may result in an individual 

14 being denied the ability to enroll under 

15 such insurance; 

16 ‘‘(ii) for which such issuer may apply 

17 a preexisting condition exclusion (as de18 fined in section 2704(b)(1)) with respect to 

19 an enrollee under such insurance; 

20 ‘‘(iii) which may result in an increase 

21 in premium amounts for such an enrollee 

22 compared to what such amounts would 

23 have otherwise been for such enrollee ab24 sent such condition; or 


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1 ‘‘(iv) for which such issuer may termi2 nate coverage under such insurance with 

3 respect to such an enrollee. 

4 ‘‘(2) ESTABLISHMENT OF DISCLOSURE.—For 

5 purposes of paragraph (1)(A), the Secretary shall es6 tablish a standardized disclosure with respect to 

7 short-term limited duration insurance offered by a 

8 health insurance issuer that includes the following 

9 information: 

10 ‘‘(A) A notification that such insurance 

11 may not cover preexisting conditions of an en12 rollee, including past physical or mental health 

13 conditions, regardless of whether such enrollee 

14 was aware of such conditions or had sought 

15 treatment for such conditions on or before the 

16 date of enrollment in such insurance. 

17 ‘‘(B) A notification that such issuer may 

18 rescind coverage under such insurance if an en19 rollee seeks treatment for such a preexisting 

20 condition, regardless of whether such enrollee 

21 was aware of such condition or had sought 

22 treatment for such condition on or before the 

23 date of enrollment in such insurance. 

24 ‘‘(C) A notification that such insurance 

25 provides limited benefits compared to individual 


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1 health insurance coverage and does not include 

2 all benefits required to be covered under the 

3 Patient Protection and Affordable Care Act (in4 cluding the essential health benefits package (as 

5 defined in section 1302(a) of such Act)) or 

6 under this title. 

7 ‘‘(D) A notification that coverage under 

8 such insurance is temporary and may not cover 

9 the costs of an enrollee for most hospital or 

10 other medical items and services, including both 

11 physical and mental health items and services. 

12 ‘‘(E) A notification that an individual 

13 should carefully review the benefits provided 

14 under such insurance before enrolling in such 

15 insurance. 

16 ‘‘(F) A notification informing individuals 

17 of the opportunity to purchase comprehensive 

18 individual health insurance coverage through 

19 Exchanges established under the Patient Pro20 tection and Affordable Care Act that provides 

21 coverage for preexisting conditions without pre22 mium increases for such conditions and for 

23 which such individuals may be eligible for finan24 cial assistance. Such notification shall include 


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1 information on how such individuals may access 

2 such Exchanges. 

3 ‘‘(b) LIMITATION ON ENROLLMENT PERIOD.—A 

4 health insurance issuer offering short-term limited dura5 tion insurance may not enroll any individual in such insur6 ance during any annual open enrollment period applicable 

7 to such individual with respect to an Exchange.’’. 

8 (b) CONFORMING AMENDMENTS.— 

9 (1) ENFORCEMENT.—Section 2723 of the Pub10 lic Health Service Act (42 U.S.C. 300gg–22) is 

11 amended— 

12 (A) in subsection (a)— 

13 (i) in paragraph (1), by inserting ‘‘, or 

14 short-term limited duration insurance in 

15 the State,’’ after ‘‘group market’’; and 

16 (ii) in paragraph (2), by inserting 

17 ‘‘(or, in the case of such a failure with re18 spect to section 2730, in connection with 

19 short-term limited duration insurance)’’ 

20 after ‘‘individual health insurance cov21 erage’’; and 

22 (B) in subsection (b)(1)(B), by inserting ‘‘, 

23 short-term limited duration insurance,’’ after 

24 ‘‘individual health insurance coverage’’. 


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1 (2) PREEMPTION.—Section 2724(a)(1) of such 

2 Act (42 U.S.C. 300gg–23(a)(1)) is amended by in3 serting ‘‘or short-term limited duration insurance’’ 

4 after ‘‘group health insurance coverage’’. 

5 (c) EFFECTIVE DATE.—The amendments made by 

6 this section shall apply with respect to marketing, applica7 tion, and enrollment materials distributed in connection 

8 with short-term limited duration insurance on or after 

9 September 1, 2019. 

Æ 


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