U.S. Supreme Court Upholds ACA Subsidies in Federal Exchanges

On June 25, 2015, the U.S. Supreme Court issued a final ruling in a lawsuit challenging the availability of health insurance Exchange subsidies in states with federal Exchanges. In a 6-3 decision, the Court held that, in drafting the ACA, Congress intended for the federal government to provide subsidies in all states. This Health Care Reform Compliance Bulletin provides an overview of the Supreme Court’s ruling.

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On June 25, 2015, the U.S. Supreme Court ruled that ACA subsidies are available in all states, including those with federal Exchanges.

Quick Facts

  • On June 25, 2015, the U.S. Supreme Court issued a final ruling in King v. Burwell.
  • The Supreme Court upheld the availability of subsidies in all states, including those that have federally facilitated Exchanges.
  • The Court reasoned that Congress intended subsidies to be available in all states when drafting the ACA.
  • As a result, eligible individuals in all states may continue to receive subsidies.

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