More than 300,000 Tri-State Patients Retain Subsidies

Supreme Court bldgThe U.S. Supreme Court on Thursday upheld the use of federal subsidies under the Affordable Care Act (ACA). In a 6-3 vote, the justices ruled that health care consumers are eligible for subsidies to purchase health insurance in both state and federal health care exchanges.

Locally, the case had implications in Ohio and Indiana which do not have state run exchanges. According to research compiled by the Kaiser Family Foundation, 161,000 Ohioans and nearly 159,000 Hoosiers receive subsidies for participation in federal exchanges. These families and individuals stood to lose their insurance, or pay significantly more for the same coverage. The average monthly subsidy per enrollee is $255 in Ohio and $320 in Indiana.

The challenge to the law arose from a clause in the language stating that federal tax subsidies for health insurance purchases were only available in insurance exchanges which states have been creating as a result of the passage of the law.

In the majority opinion, justices stated that the subsidies are one of the act’s key components and the intent of the law was to make them available to consumers purchasing insurance in both state and federal exchanges.