SummaryOn July 22, the U.S. Court of Appeals for the D.C. Circuit ruled contrary to lower courts and struck down the IRS's regulations allowing consumers to receive subsidies for insurance purchased on federally-facilitated exchanges.
If the ruling is eventually considered and upheld by the Supreme Court, individuals purchasing insurance in states with federally-facilitated exchanges will be impacted. While it remains somewhat unclear how states implementing state-based exchanges but relying heavily on the federal government for exchange operations ( e.g. Idaho, New Mexico, Oregon, and Nevada) would be treated, consumers in a majority of states would be at risk.
Please reach out to Caroline Pearson, at CPearson@Avalere.com, or Elizabeth Carpenter, at ECarpenter@Avalere.com, with any questions.