The Biden administration recently announced the withdrawal of a proposed rule affecting employer-sponsored contraceptive coverage. The proposed Biden rule aimed to limit exemptions for contraceptive coverage but has been rescinded, maintaining the broader Trump-era exemptions.
The New American reported that in a notice published on Monday by the Departments of Health and Human Services, Labor, and the Treasury, the administration disclosed its decision to cancel the proposed rule. This action came after considering the allocation of resources and extensive public input on the matter.
The Affordable Care Act (ACA), established under President Obama, initially required that employer-sponsored health plans cover birth control without additional costs. However, this mandate included only narrow exemptions for religious nonprofits, which critics argued were insufficient.
The 2014 Supreme Court decision in Burwell v. Hobby Lobby subsequently expanded these exemptions to closely held for-profit corporations. This set a precedent that allowed certain businesses to opt out of providing contraceptive coverage based on religious beliefs.
The Trump administration further widened these exemptions to include any employer with either religious or moral objections.
This rule adjustment also provided an accommodation, whereby employees of exempt employers could still receive contraceptive coverage directly from healthcare providers.
These changes were upheld by the Supreme Court in 2020, solidifying the broad exemptions. In response, several states, including California and Pennsylvania, initiated lawsuits challenging the expanded religious exemption, which were put on hold pending the outcome of proposed changes under the Biden administration.
In January 2023, President Biden sought to modify the Trump-era rules by narrowing the exemptions for non-religious objections.
His administration proposed a workaround that would allow employees of religious organizations to obtain birth control at no cost, directly from healthcare providers if their employer objected on religious grounds.
This proposed rule was estimated to affect over 100 employers and nearly 130,000 employees, sparking a significant public response. The departments received 44,825 comments from a diverse group of stakeholders, including employers, health insurance issuers, and individuals.
After reviewing substantial public feedback, the Biden administration decided to withdraw the proposed rule. This decision means that the Trump administration’s broader exemptions will remain in place, affecting how employers can opt out of providing contraceptive coverage.
HHS Secretary Xavier Becerra emphasized the importance of accessible birth control, stating, "Now more than ever, access to and coverage of birth control is critical as the Biden-Harris Administration works to help ensure women everywhere can get the contraception they need when they need it, and—thanks to the ACA—with no out-of-pocket cost."
The Becket Fund for Religious Liberty, representing groups like the Little Sisters of the Poor who opposed the rule, expressed relief at the withdrawal. They commented, "Christmas came a little early this year. This afternoon … one threat to the Sisters suddenly disappeared."
The decision to maintain the status quo has been celebrated by religious groups who viewed the proposed rule as a threat to their beliefs, while others continue to advocate for broader access to contraceptive coverage as a fundamental health right.
