Skip to main content
Sister Publication Links
  • Rubber News
  • European Rubber Journal
Subscribe
  • Login
  • Register
  • Subscribe
  • Current Issue
  • BEST PLACES TO WORK
  • News
    • HUMANITARIAN
    • TIRE MAKERS
    • COMMERCIAL TIRE
    • GOVERNMENT & LAW
    • MERGERS & ACQUISITIONS
    • OBITUARIES
    • OPINION
    • MID YEAR REPORT
    • SERVICE ZONE
  • ADAS
  • Data
    • DATA STORE
  • Custom
    • SPONSORED CONTENT
  • Resources
    • Events
    • DIRECTORY
    • CLASSIFIEDS
    • SHOP FLOOR
    • AWARDS
    • ASK THE EXPERT
    • LIVESTREAMS
    • WEBINARS
    • SEMA LIVESTREAMS
    • RUBBER NEWS EVENTS
    • BALANCING
    • DEMOUNTING
    • SAFETY
    • TIRE REPAIR
    • TPMS
    • TRAINING
    • VEHICLE LIFTING
    • WHEEL TORQUE
    • Best Places to Work
  • ADVERTISE
  • DIGITAL EDITION
MENU
Breadcrumb
  1. Home
  2. News
March 24, 2014 02:00 AM

Appeals court to hear healthcare reform law challenge

Crain News Service
  • Tweet
  • Share
  • Share
  • Email
  • More
    Print

    By Jerry Geisel, Crain News Service

    WASHINGTON (March 24, 2014) — A federal appeals court in Washington will hear oral arguments March 25 in a lawsuit challenging the heart of the healthcare reform law — the extension of federal premium subsidies to millions of uninsured U.S. residents to buy coverage in public exchanges.

    The suit, filed by several individuals and employers, contends that the IRS overstepped its authority in its 2012 rule saying that the subsidies are available through both state and federal insurance exchanges.

    The plaintiffs argue that under the Patient Protection and Affordable Care Act, premium subsidies are limited to states that have set up insurance exchanges, and not the 36 states where the U.S. Department of Health and Human Services established exchanges after the states declined to do so.

    Earlier, Judge Paul Friedman of the U.S. District Court for the District of Columbia rejected that argument: “There is no evidence that either the House or Senate considered making tax credits dependent on whether a state participated in the exchanges,” he wrote.

    The plaintiffs now want the U.S. Court of Appeals for the District of Columbia to overturn Judge Friedman's ruling.

    The ramifications of the litigation are huge. If premium subsidies are limited to coverage provided only through state insurance exchanges, millions of lower-income uninsured U.S. residents living in states that declined to set up exchanges, such as Ohio, Pennsylvania and Texas, would lack access to the subsidies and may remain uninsured.

    In its most recent report, the Department of Health and Human Services (HHS) said that as of March 1, 4.2 million people had enrolled in the exchanges, with just 1.6 million enrolled in state exchanges and 2.6 million in the federal exchanges. More than 80 percent of enrollees in both federal and state exchanges are eligible for the premium subsidies, HHS said.

    The outcome of the litigation could have significant implications for employers. That is because healthcare reform law penalties against employers that do not offer coverage or do not offer affordable coverage apply only if an employee eligible for a premium subsidy uses it to buy coverage through a public exchange.

    ____________________________________________

    This report appeared on businessinsurance.com, the website of Business Insurance magazine, a Chicago-based sister publication of Tire Business.

    Related Articles
    Employers eye private exchanges for employees' health benefits
    Healthcare reform rules limit benefits waiting period
    Employers expect slight uptick in 2014 group health plan costs
    Public health exchange enrollment tops 4.2M
    Bill to revive Health Coverage Tax Credit introduced in House
    Enrollment in public health exchanges soars to 5 million: HHS
    Problems? Some state health exchanges plan extensions
    Letter
    to the
    Editor

    Do you have an opinion about this story? Do you have some thoughts you'd like to share with our readers? Tire Business would love to hear from you. Email your letter to Editor Don Detore at [email protected].

    Most Popular
    1
    EU approves Yokohoma's Trelleborg Wheel Systems purchase
    2
    Gold Trip: Conti EV strategy remains consistent
    3
    Should you trust the 3PMS winter tire symbol?
    4
    Saudi tire plant backers target construction in 2024
    5
    Hankook Tire confirms arrest of Chairman Cho Hyun-bum
    SIGN UP FOR NEWSLETTERS
    EMAIL ADDRESS

    Please enter a valid email address.

    Please enter your email address.

    Please verify captcha.

    Please select at least one newsletter to subscribe.

    Newsletter Center

    Staying current is easy with Tire Business delivered straight to your inbox.

    SUBSCRIBE TODAY

    Subscribe to Tire Business

    SUBSCRIBE
    Connect with Us
    • Facebook
    • LinkedIn
    • Twitter
    • Instagram
    • RSS

    Our Mission

    Tire Business is an award-winning publication dedicated to providing the latest news, data and insights into the tire and automotive service industries.

    Reader Services
    • Staff
    • About Us
    • Site Map
    • Industry Sites
    • Order Reprints
    • Customer Service: 877-320-1716
    Partner Sites
    • Rubber News
    • European Rubber Journal
    • Automotive News
    • Plastics News
    • Urethanes Technology
    RESOURCES
    • Advertise
    • Privacy Policy
    • Privacy Request
    • Terms of Service
    • Media Guide
    • Editorial Calendar
    • Classified Rates
    • Digital Edition
    • Careers
    • Ad Choices Ad Choices
    Copyright © 1996-2023. Crain Communications, Inc. All Rights Reserved.
    • BEST PLACES TO WORK
    • News
      • HUMANITARIAN
      • TIRE MAKERS
      • COMMERCIAL TIRE
      • GOVERNMENT & LAW
      • MERGERS & ACQUISITIONS
      • OBITUARIES
      • OPINION
      • MID YEAR REPORT
      • SERVICE ZONE
    • ADAS
    • Data
      • DATA STORE
    • Custom
      • SPONSORED CONTENT
    • Resources
      • Events
        • ASK THE EXPERT
        • LIVESTREAMS
        • WEBINARS
        • SEMA LIVESTREAMS
        • RUBBER NEWS EVENTS
      • DIRECTORY
      • CLASSIFIEDS
      • SHOP FLOOR
        • BALANCING
        • DEMOUNTING
        • SAFETY
        • TIRE REPAIR
        • TPMS
        • TRAINING
        • VEHICLE LIFTING
        • WHEEL TORQUE
      • AWARDS
        • Best Places to Work
    • ADVERTISE
    • DIGITAL EDITION