Commonwealth Fund October 25, 2019
Timothy S. Jost

On December 10, the Supreme Court will hear oral arguments in lawsuits brought by four health insurers seeking damages against the United States for its failure to fully pay risk-corridor payments promised by the Affordable Care Act (ACA). So far, this is the only ACA case the Supreme Court has accepted for hearing during the current term.

The ACA Risk-Corridor Program

The temporary risk-corridor program was one of three programs (along with temporary reinsurance and permanent risk-adjustment) the ACA created to stabilize health insurance premiums and backstop insurance companies willing to offer a new and risky product — that is, comprehensive, guaranteed issue, individual and small-group insurance that covers preexisting conditions. ACA § 1342 set out a formula under which...

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Topics: ACA (Affordable Care Act), CMS, Congress / White House, Govt Agencies, HHS, Insurance, Patient / Consumer, Payer, Provider, Public Exchange
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