SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Educating Consumers 
on the Risks of Short-Term Plans Act of 2019’’. 
SEC. 2. REQUIRING A HEALTH INSURANCE ISSUER OFFER-
ING SHORT-TERM LIMITED DURATION INSUR-
ANCE TO INCLUDE A STANDARDIZED DISCLO-
SURE AND CERTAIN INFORMATION WITH RE-
SPECT TO COVERAGE EXCLUSIONS AND PRE-
MIUM VARIATIONS IN MARKETING, APPLICA-
TION, AND ENROLLMENT MATERIALS DIS-
TRIBUTED IN CONNECTION WITH SUCH IN-
SURANCE AND PROHIBITING THE SALE OF 
SUCH INSURANCE DURING CERTAIN PERI-
ODS. 
(a) IN GENERAL.—Subpart II of part A of title 
XXVII of the Public Health Service Act (42 U.S.C. 
300gg–11 et seq.) is amended by adding at the end the 
following new section: 
‘‘SEC. 2730. INFORMATION REQUIRED TO BE INCLUDED IN 
MARKETING, APPLICATION, AND ENROLL-
MENT MATERIALS DISTRIBUTED IN CONNEC-
TION WITH SHORT-TERM LIMITED DURATION 
INSURANCE; LIMITATION ON ENROLLMENT 
PERIOD. 
‘‘(a) PROVISION OF INFORMATION.— 
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‘‘(1) IN GENERAL.—A health insurance issuer 
offering short-term limited duration insurance shall 
include in any marketing, application, or enrollment 
materials distributed by such issuer in connection 
with such insurance, in a prominent location set 
apart from other information— 
‘‘(A) the standardized disclosure estab-
lished by the Secretary under paragraph (2); 
and 
‘‘(B) a list of all medical conditions, in-
cluding both physical and mental health condi-
tions— 
‘‘(i) which may result in an individual 
being denied the ability to enroll under 
such insurance; 
‘‘(ii) for which such issuer may apply 
a preexisting condition exclusion (as de-
fined in section 2704(b)(1)) with respect to 
an enrollee under such insurance; 
‘‘(iii) which may result in an increase 
in premium amounts for such an enrollee 
compared to what such amounts would 
have otherwise been for such enrollee ab-
sent such condition; or 
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‘‘(iv) for which such issuer may termi-
nate coverage under such insurance with 
respect to such an enrollee. 
‘‘(2) ESTABLISHMENT
OF
DISCLOSURE.—For 
purposes of paragraph (1)(A), the Secretary shall es-
tablish a standardized disclosure with respect to 
short-term limited duration insurance offered by a 
health insurance issuer that includes the following 
information: 
‘‘(A) A notification that such insurance 
may not cover preexisting conditions of an en-
rollee, including past physical or mental health 
conditions, regardless of whether such enrollee 
was aware of such conditions or had sought 
treatment for such conditions on or before the 
date of enrollment in such insurance. 
‘‘(B) A notification that such issuer may 
rescind coverage under such insurance if an en-
rollee seeks treatment for such a preexisting 
condition, regardless of whether such enrollee 
was aware of such condition or had sought 
treatment for such condition on or before the 
date of enrollment in such insurance. 
‘‘(C) A notification that such insurance 
provides limited benefits compared to individual 
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health insurance coverage and does not include 
all benefits required to be covered under the 
Patient Protection and Affordable Care Act (in-
cluding the essential health benefits package (as 
defined in section 1302(a) of such Act)) or 
under this title. 
‘‘(D) A notification that coverage under 
such insurance is temporary and may not cover 
the costs of an enrollee for most hospital or 
other medical items and services, including both 
physical and mental health items and services. 
‘‘(E) A notification that an individual 
should carefully review the benefits provided 
under such insurance before enrolling in such 
insurance. 
‘‘(F) A notification informing individuals 
of the opportunity to purchase comprehensive 
individual health insurance coverage through 
Exchanges established under the Patient Pro-
tection and Affordable Care Act that provides 
coverage for preexisting conditions without pre-
mium increases for such conditions and for 
which such individuals may be eligible for finan-
cial assistance. Such notification shall include 
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information on how such individuals may access 
such Exchanges. 
‘‘(b) LIMITATION
ON
ENROLLMENT
PERIOD.—A 
health insurance issuer offering short-term limited dura-
tion insurance may not enroll any individual in such insur-
ance during any annual open enrollment period applicable 
to such individual with respect to an Exchange.’’. 
(b) CONFORMING AMENDMENTS.— 
(1) ENFORCEMENT.—Section 2723 of the Pub-
lic Health Service Act (42 U.S.C. 300gg–22) is 
amended— 
(A) in subsection (a)— 
(i) in paragraph (1), by inserting ‘‘, or 
short-term limited duration insurance in 
the State,’’ after ‘‘group market’’; and 
(ii) in paragraph (2), by inserting 
‘‘(or, in the case of such a failure with re-
spect to section 2730, in connection with 
short-term limited duration insurance)’’ 
after ‘‘individual health insurance cov-
erage’’; and 
(B) in subsection (b)(1)(B), by inserting ‘‘, 
short-term limited duration insurance,’’ after 
‘‘individual health insurance coverage’’. 
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(2) PREEMPTION.—Section 2724(a)(1) of such 
Act (42 U.S.C. 300gg–23(a)(1)) is amended by in-
serting ‘‘or short-term limited duration insurance’’ 
after ‘‘group health insurance coverage’’. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply with respect to marketing, applica-
tion, and enrollment materials distributed in connection 
with short-term limited duration insurance on or after 
September 1, 2019. 
Æ 
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