CLASS Program Axed by Obama Administration

The Obama administration announced today it will not move forward with a new long-term care insurance plan -- a major part of its health care law -- because of problems with paying for it.

"Despite our best analytical efforts, I do not see a viable path forward," wrote Health and Human Services Secretary Kathleen Sebelius in a letter to Congress.

Congressional Republicans had vowed to kill the program, calling the Community Living Assistance Services and Supports program (CLASS) too expensive.

Some Republicans have vowed to try and repeal the entire Obama health care law, calling it too much of a government intrusion into the health care system.

A key part of the law -- the requirement that nearly all Americans buy some form of health insurance -- is also being challenged in court; the Supreme Court is expected to rule on the case next summer.

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