June 26, 2015
Supreme Court Upholds Federal Insurance Exchange, Benefiting Early Retirees and Older Workers
In a 6-3 decision, the U.S. Supreme Court ruled on Thursday in the case of King v. Burwell that the Affordable Care Act (ACA) allows residents of states using the federal insurance exchange to receive premium subsidies for their coverage — an outcome that preserves subsidies for 6.4 million people. This decision will be especially helpful to older Americans who are not yet eligible for Medicare. According to an analysis by the RAND Corporation, 34.9% of the ACA marketplace is made up of 50-64 year olds and of that group, 72.6% are eligible for subsidies.
“With Thursday’s decision, the Supreme Court said that millions of older Americans are not going to lose the health care benefits they had gained,” said Barbara J. Easterling, President of the Alliance.
Alliance Executive Director Richard Fiesta issued a statement after hearing news of the ruling, saying, “The Alliance will continue to vigorously oppose the legislative and judicial attacks that seek to destroy the important gains working Americans made through the ACA.”