News Headlines Article

HHS approves three state-based exchanges ahead of King decision
Modern Healthcare

The Obama administration has given the go-ahead to Arkansas, Delaware and Pennsylvania to switch from federally facilitated health insurance marketplaces to state-based ones.

The approvals come right before the U.S. Supreme Court will hand down a decision that could dramatically alter the course of the exchanges. Justices are expected to rule by the end of the month whether premium subsidies are legal in states that rely on HHS to operate their exchange. Conservative plaintiffs in King v. Burwell have argued the Affordable Care Act only allows the subsidies, known as premium tax credits, to be issued through exchanges established and operated by states.