The Trump administration is working on a plan to cut health care protections for transgender people.

According to The New York Times, the administration's plan is in response to a legal challenge to the Obama-era rule that prevents doctors, hospitals and insurance companies from discriminating against transgender people. It translates the Affordable Care Act's (also known as Obamacare) prohibition on sex discrimination to include discrimination based on “gender identity” and sex “stereotyping.”

Prior to the rule, many insurers denied coverage for health services related to a person transitioning from one gender to another.

The lawsuit was filed in Texas by eight states and a network of Roman Catholic hospitals.

Judge Reed O'Connor found that “Congress did not understand 'sex' to include 'gender identity'” in passing the Affordable Care Act.

The Times reported that the White House has confirmed that it's reviewing a proposed rule on “nondiscrimination in health programs” to comply with the judge's order.

Jocelyn Samuels, who helped craft the rule under the Obama administration, said that rescinding the rule would have consequences for the entire LGBT community.

“If the Trump administration rescinds the protections against sex stereotyping and gender identity discrimination, the effect will be potentially devastating not just for the trans community, but for any other patients who are gender-nonconforming, including lesbian and gay individuals,” Samuels said.