Obama Administration Suspends Part of Health Care Law

Posted October 14th, 2011 at 10:00 pm (UTC-5)
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U.S. health officials say they are suspending a program in President Barack Obama's 2010 health care law, over concerns that it is not financially sound.

The program would have provided home care for the elderly and disabled, but since its inclusion in the health care bill last year it has been targeted for repeal by congressional Republicans.

Health administration officials said Friday that despite their best efforts to implement the plan, it was not possible to make it financially viable.

The plan was designed to give disabled elderly people money to receive care at home instead of the usually more expensive care in nursing homes. It would have allowed workers to pay a monthly premium during their careers and if they became disabled later in life to collect a daily cash benefit.

However, Obama administration officials said they could not come up with a model that would entice enough healthy people to buy the expensive insurance to keep the program financially stable.