The future of ObamaCare marketplaces could be left in question through late August if a federal court grants the Trump administration’s Monday request for another 90-day delay in a lawsuit regarding ObamaCare insurance subsidies.
At the center of the lawsuit, House v. Price, is ObamaCare’s cost-sharing program which assist low-income patients in making medical copayments by reimbursing health insurers.
President Trump has contended that ObamaCare is failing and will collapse despite the efforts of his administration, causing chaos in the healthcare market. Such a collapse, Trump said, might entice Democrats to compromise with Republicans in crafting an overhaul to the healthcare system.
Officials in the Trump administration noted that the cost-sharing program would continue while the lawsuit is pending.
Another delay in the lawsuit would contribute to the ongoing uncertainty of insurers as they decide where to offer coverage and what amounts to charge for policies.
House Republicans filed the initial lawsuit, contending that the cost-sharing program was never legally funded in ObamaCare. In 2016, a federal district court judge ruled that the program was being illegally funded by the Obama administration. The decision was appealed, yet a new ruling had not been issued prior to Trump taking office.
The first delay was sought in late February by the Trump administration which has until Monday to inform the D.C. Court of Appeals how it intends to resolve the suit.
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