The 'Departments' Rescind the Proposal for Mandatory Coverage of Over-the-Counter Contraceptives

The ‘Departments’ Rescind the Proposal for Mandatory Coverage of Over-the-Counter Contraceptives

Last week, the Departments of the Treasury, Labor, and Health and Human Services (collectively, the “Departments”) rescinded proposed regulations related to contraceptive coverage.

The proposed regulations, issued in October 2024, would have required non-grandfathered group health plans to cover over-the-counter (“OTC”) contraceptives without cost-sharing and without a prescription. Specifically, the rescinded proposed regulations would have required first-dollar coverage of daily birth control, emergency contraceptives, and male condoms, among other contraceptive drugs or devices.

The previous administration had hoped to cut Americans' birth control costs by adding over-the-counter contraceptive purchases to the Affordable Care Act preventive services package. Government officials estimated approximately 52 million women of reproductive age would have benefited from the proposal when announced back in October.

In a notice posted December 23, 2024, the Departments said the proposed rulemaking was being withdrawn after receiving nearly 45,000 public comments. The reason for the reversal of the proposed policy is that the Departments are shifting their time and focus to other matters.

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