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On November 14th he said he would let insurers extend cancelled policies by one year.
Insurers would have to scramble to reinstate cancelled policies, which involves re-jigging software, setting new prices and so on.
These large and profitable corporations have cancelled policies and raised rates at will.
When insurers canceled policies and raised premiums in Florida in 2006, politicians jumped on them.
It also refunds premiums if borrowers cancel policies within 30 days, assuaging some lawmakers' concerns.
The law also bars insurers from canceling policies on sick people; previously, 10,000 people a year had their policies rescinded.
Fannie Mae wants servicers to refund the premiums on canceled policies within 15 days of receiving evidence of other coverage.
Nevertheless, WellPoint agreed to stop canceling policies, except in cases of deliberate fraud, as of May 1, before the law required.
Starting this September, insurers will be forbidden to cancel policies retroactively when patients develop a serious and expensive illness.
They haven't been hoarding more cash to prepare for bigger storms; they haven't been cancelling policies.
For example, it has stopped insurers from excluding pre-existing conditions from coverage for children, and they can no longer cancel policies for any reason other than fraud.
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CEO of Professional Science Editing for Scientists @ prosciediting.com