We have received text from H.R. 7: No Taxpayer Funding for Abortion and Abortion Insurance Full Disclosure Act of 2025. This bill was received on 2025-01-22, and currently has 64 cosponsors.
Here is a short summary of the bill:
This bill is known as the "No Taxpayer Funding for Abortion and Abortion Insurance Full Disclosure Act of 2025." It aims to regulate the funding of abortions and associated health insurance. Below is a summary of its main sections and provisions.
Title I—Prohibiting Federally Funded Abortions
Prohibition on Funding for Abortions
The bill states that no federal funds, including those from trust funds established by federal law, can be used to pay for abortions. This includes all forms of federal financial support.
Prohibition on Health Benefits Plans Covering Abortions
Similar to the above, the bill prohibits the use of any federal funds for health benefit plans that cover abortion services. This extends to insurance plans and other health benefits provided with federal support.
Limitation on Federal Facilities and Employees
Under this provision, abortions will not be permitted in federally owned or operated healthcare facilities, nor can federal employees provide abortions in the scope of their official duties.
Separate Coverage Allowance
The bill allows individuals and entities the ability to purchase separate abortion coverage, as long as these plans do not use federally appropriated funds or matching funds provided for federal programs, such as Medicaid.
Non-Preemption of Other Federal Laws
This section clarifies that the bill will not repeal or amend any existing federal laws that impose more stringent limitations on the use of funds for abortion that are already in place.
Exceptions for Specific Situations
There are exceptions where the prohibitions do not apply, specifically for abortions in cases of rape or incest, or when a woman's life is at risk due to a physical condition related to the pregnancy.
Application to the District of Columbia
The provisions apply to the District of Columbia in the same way that they apply to the federal government.
Title II—Application under the Affordable Care Act
Clarifying Application of Prohibition
This section highlights that any health plan that includes abortion coverage cannot receive premium credits or cost-sharing reductions under the Affordable Care Act (ACA).
Small Employer Health Insurance Expense Credit
It specifies that health plans providing abortion services are excluded from qualifying for tax credits available for small businesses that provide health insurance.
Multi-State Plans Coverage Compliance
For multi-state health plans offered in exchanges, the bill mandates that such plans cannot offer health benefits that are financed by federal funds if they include abortion services.
Effective Date
The amendments primarily apply to taxable years ending after December 31, 2025, regarding plans beginning after that date.
Revision of Notice Requirements
Disclosure of Coverage
The bill requires that any qualified health plan must disclose the extent of abortion coverage available at enrollment time, along with its marketing materials. If there is an abortion surcharge, that must also be disclosed clearly.
Effective Date for Notice Requirements
The new notice provisions take effect 30 days after the bill is enacted.
Relevant Companies
- CNC (Centene Corporation): As a major Medicaid insurer, Centene might face operational changes and potential financial impacts due to restrictions on abortion coverage requirements.
- MRK (Merck & Co., Inc.): This company might be affected due to its involvement in pharmaceuticals related to reproductive health services (although more indirectly related to the bill).
This article is not financial advice. See Quiver Quantitative's disclaimers for more information.
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