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DOL headquarters in Washington Fifteen years ago, AHP scams left policyholders faced with huge medical bills they had to pay from their own pockets. (Photo: Mike Scarcella/ALM)

A misguided proposal to create federal oversight of certain group health plans could open wide the doors of fake health coverage, leaving consumers without urgently needed protection.

They’re called association health plans (AHPs). The Trump administration’s proposal would authorize AHPs. It’s a well-intended idea aimed at increasing insurance options for consumers. The U.S. Department of Labor (DOL) would oversee them, leaving state insurance regulators with little meaningful role. And that’s the rub.

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