"These holdings reflect a principle as old as the nation itself: The government should honor its obligations," Supreme Court Justice Sonia Sotomayor wrote. Credit: Diego M. Radzinschi/ National Law Journal.
The U.S. Supreme Court on Monday revived claims from insurers for billions of dollars in payments under a provision of the Affordable Care Act that established risk management protections to encourage companies to participate in the market.
The justices, ruling 8-1 against the Trump administration, said the U.S. government had an obligation to make $12 billion in payments under the so-called "risk corridor" program, a scheme that was designed to provide protections for insurers who claimed losses for participating in the centerpiece health exchanges set up by the Affordable Care Act.
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Marcia Coyle
Marcia Coyle, based in Washington, covers the U.S. Supreme Court. Contact her at [email protected]. On Twitter: @MarciaCoyle
Mike Scarcella
Mike Scarcella is a senior editor in Washington on ALM Media's regulatory desk. Contact him at [email protected]. On Twitter: @MikeScarcella. Mike works on a slate of newsletters: Supreme Court Brief | Higher Law | Compliance Hot Spots | Labor of Law.
