Supreme Court agrees to review insurers’ lawsuit over Obamacare payments

Share
Supreme Court agrees to review insurers’ lawsuit over Obamacare payments

The insurers have argued that the ruling would allow the government to pull a "bait-and-switch" and withhold money they were promised.

The Supreme Court on Monday agreed to hear an appeal from health insurance companies who say the federal government owes them $12 billion from losses sustained under the Affordable Care Act.

The justices will hear an charm by a neighborhood of insurers of a decrease court docket ruling that Congress had suspended the federal government's responsibility to produce the funds.

The law, dubbed Obamacare, has enabled millions of Americans who previously had not medical coverage to obtain insurance.

Insurers at the side of Moda, Blue Unpleasant and Blue Protect of North Carolina, Maine Team Effectively being Alternatives and Land of Lincoln Mutual Effectively being Insurance protection Firm sued the federal government after it failed to pay them money they acknowledged they were owed.

Robert Gootee, chief executive of Moda Inc, said he was encouraged that the Supreme Court agreed to hear the case.

In its petition, the association says that had insurers known they wouldn't get full risk corridor payments, they might have charged consumers more money or not offered plans on the Obamacare exchanges at all.

Under the program, insurers whose premiums exceeded expenses in the first three years of the program would have to pay some of the profit to the federal government. Originally, the program was not required to pay for itself, but, in a 2015 funding bill, congressional Republicans prohibited the Health and Human Services department from using any of its other resources for the program.

Given that, health insurers should not have chose to sell insurance on the Obamacare exchange based on an expectation that they would receive the payments, the federal government alleges.

FILE PHOTO: A police officer walks by columns at the Supreme Court in Washington, U.S., October 9, 2018.

The cases stem from so-called risk corridor payments that the government said it would pay commercial health insurers under the Affordable Care Act to compensate them for losses from covering people with chronic conditions and pre-existing conditions.

In its response to the health plans' petition, the US government argued that a Government Accountability Office report identified only two possible sources of funding for the risk corridor payments: (1) the funds collected by HHS under the program itself, and (2) any lump-sum appropriation to manage certain Centers for Medicare & Medicaid Services programs.

The U.S. Court of Appeals for the Federal Circuit ruled 2-1 a year ago that Congress, in passing the appropriations riders, implicitly repealed its statutory obligation to pay the insurers. "The insurers appealed, arguing that Supreme Court precedents require much more explicit legislative language to eliminate a previously adopted payment obligation".

Share

Advertisement

Related Posts

Chris Gayle won't retire after World Cup; Wants to play against India
Gayle is not having the best of the World Cup where West Indies is all but out of the race for the semifinals. I won't play the T20s. "I just found out as well, too". "But, yeah, it's great and it's great for cricket .

Disney poaches Netflix film executive for streaming service
The shift will be pricey for customers, too. "It is just a function how much investment everyone is willing to make", he said. That has complicated things for Netflix , which built its business model on content licensed from other companies.

Apple Watch could get a band with a camera
Apple even envisages a possible band with twin cameras, one on each side, that could be used to capture 360 photos or video. Apple might just have a solution , according to a new patent that has been granted to the company.

Ndlovu Youth Choir wow AGT Judges
This isn't his first time on stage although he usually performs with his band, Lamont Landers Band. If you remember, we had them singing the Zulu version of Ed Sheeran's "Perfect" a while back.

FedEx sues United States government on Huawei trade ban
It bought TNT Express in 2016 for $4.8 billion and has struggled to integrate it into its own network. The company is objecting to new requirements that it police certain packages.

Chapman's family warned Beth may not wake from coma
She was hospitalised in April due to fluid accumulation in her longs and underwent an operation in April to relieve pressure. In September 2017, they used their Facebook account to announce Chapman had been diagnosed with Stage 2 throat cancer .

San Francisco bans sales of e-cigarettes
The presence of e-cigarettes has 'completely reversed the progress we've made in youth smoking in the last few years, ' he said. Juul, which is 35% owned by tobacco company Altria, was spun off as a separate company from vaporizer maker Pax Labs in 2017.

Hacker used $35 computer to steal restricted NASA data
According to the BBC , the audit found several other "unknown" devices on the JPL network, though none were believed malicious. Multiple IT security weaknesses meant JPL lacked the ability to prevent, detect and mitigate an attack of this nature.

House panel holds hearing on possible violations by Trump officials
Conway on Monday ripped CREW as a "left-wing propaganda machine" and "provocateurs who are trying to weaponize the Hatch Act". "If you look at what the Hatch Act is all about, it is not about Kellyanne Conway in her speech", he said.

North Korea blasts Mike Pompeo as obstruction to nuclear talks
In his written replies, Moon said he has found Kim to be a "flexible yet resolute person" during their talks. Pyongyang also said Pompeo's remarks contradict the contents of the U.S.

© 2015 ExpressNewsline. All Rights reserved.