State Impact of Upcoming Healthcare Decision

May 2015
Within the next few months, the Supreme Court will release their decision regarding the King v. Burwell case. Arguments for the case, which deals with tax subsidies of the Affordable Care Act, were presented on March 4, 2015.
King argues that subsidies should only be provided in states that have established their own marketplaces, as the Act uses the terms “established by the State.” Burwell, on the other hand, argues that subsidies should be available regardless of whether the insurance marketplaces were established by the state or the federal government.
Reports show that 34 states have federally-run marketplaces, while 13 states and the District of Columbia have state-run marketplaces, and three states have state marketplaces that use federal guidelines to determine subsidy eligibility.
If the Court rules in favor of King, supporting the notion that tax subsidies can only be established by states, those individuals from states with federally-run health insurance marketplaces may lose their subsidies and may become uninsured. According to the Kaiser Foundation, this decision has the potential to affect the 7.5 million people in those 34 states with federal marketplaces who qualified for subsidies upon signing up for health insurance.
Women In Government will be following the case over the next several months, and we plan to feature programming related to this issue at our upcoming conferences.
You can find more information about the case by clicking the links below: