Scales of justice In theory, an AHP can help small employers self-ensure and avoid state insurance rules by letting them combine to act as one big employer. (Credit: Thinkstock)

Three judges at the U.S. Court of Appeals for the D.C. Circuit are thinking about whether the U.S. Department of Labor has the authority to loosen the rules that determine what kinds of employers can unite to act as one employer for association health plan (AHP) purposes.

The judges heard oral arguments on State of New York et al. v. the U.S. Department of Labor et al. (Case Number 19-5125) — a suit brought by officials in New York state and other states that want tight restrictions on AHP — last week in Washington.

Large employers can avoid complying with state insurance rules by choosing to self-insure.

Continue Reading for Free

Register and gain access to:

  • Breaking benefits news and analysis, on-site and via our newsletters and custom alerts
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical converage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Allison Bell

Allison Bell, a senior reporter at ThinkAdvisor and BenefitsPRO, previously was an associate editor at National Underwriter Life & Health. She has a bachelor's degree in economics from Washington University in St. Louis and a master's degree in journalism from the Medill School of Journalism at Northwestern University. She can be reached through X at @Think_Allison.