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Trump administration expands health reimbursement arrangements for marketplace coverage

October 22, 2018 / Evan Sweeney

The Trump administration plans to release a proposed rule on Tuesday morning allowing businesses to give employees money to purchase health insurance on the individual marketplace, a move senior official says will expand choices for employees that work at small businesses. The proposed rule, issued by the Department of Health and Human Services (HHS), the Department of Labor (DOL) and the Department of Treasury, would restructure Obama-era regulations that limited the use of employer-funded accounts known as health reimbursement arrangements (HRA). The proposal is part of President Donald Trump's "Promoting Healthcare Choice and Competition" executive order issued last year, which tasked the agencies with expanding the use of HRAs. Senior administration officials said the proposed change would bring more competition to the individual marketplace by giving employees the chance to purchase health coverage on their own. The rule includes "carefully constructed guardrail...