Insurance department allows insurers to extend health plans that aren’t compliant with ACA

The Kansas Insurance Department has given the OK to insurers in the state that they can continue to renew health insurance policies that don’t meet the requirements of the Affordable Care Act a day after President Obama extended the deadline until October 2016.

As of Jan. 1, many insurance policies no longer met the law’s criteria of providing a certain base level of benefits, causing them to be canceled. After many Americans complained, the Obama administration in November pushed back the deadline until October 2014. He added another two years this week.

“We still have concerns about the delay and the potential long-term effects on the health insurance market, but the department will give our companies and consumers the flexibility to work through the ACA changes,” Kansas insurance commissioner Sandy Praeger said in a statement Thursday announcing the decision. “Earlier, the department and the companies believed it was in the best interest to phase out noncompliant ACA plans at the end of 2014, but with the new announcement we acknowledge the administration’s decision and will comply with the flexibility provided under the extension.”

Under the policy, insurers will be able to renew certain “non-grandfathered” plans — those with substandard benefits issued between March 23, 2010, and Jan. 1, 2014 — through Oct. 1, 2016.