House Republican leaders suffered a humiliating legislative setback Wednesday when a large faction of GOP lawmakers rebelled against a leadership proposal that had drawn the opposition of powerful outside activists.

The mutiny forced House Majority Leader Eric Cantor (Va.) to abruptly pull from the floor legislation to shore up a program that allows people with preexisting health conditions to buy into an insurance pool for high-risk patients before they are able to transition to coverage under President Obama’s health-care law.

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