Court delay sought in $7B Obamacare subsidy case
Legal Interview
Uncertainty over the future of health care for millions grew deeper Monday as insurers released a blueprint for stabilizing wobbly markets and the Trump administration left in limbo billions of dollars in federal payments.
At the federal courthouse, the administration and House Republicans asked appeals judges for a 90-day extension in a case that involves federal payments to reduce deductibles and copayments for people with modest incomes who buy their own policies. The fate of $7 billion in “cost-sharing subsidies” remains under a cloud as insurers finalize their premium requests for next year.
The court case is known as House v. Price. In requesting the extension, lawyers for the Trump administration and the House said the parties are continuing to work on measures, “including potential legislative action,” to resolve the issue. Requests for extensions are usually granted routinely.
Hours before the filing, a major insurer group released a framework for market stability that relies in part on a continuation of such subsidies.
The BlueCross BlueShield Association represents plans that are the backbone of insurance markets under the Affordable Care Act, or ACA, and would also be the mainstay with a Republican approach.
As the GOP-led Congress works on rolling back major parts of the Obama law, the BlueCross BlueShield plan called for:
Continued protections for people with pre-existing medical conditions and sustained federal funding to offset the cost of care for the sickest patients.
More leeway for states to experiment with health insurance benefits, with a basic floor of federal standards.
Preserving ACA consumer safeguards including no lifetime caps on benefits, no higher premium for women based on gender, and a requirement that insurers spend a minimum of 80 cents of every premium dollar on medical care.
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