US Supreme Court gave nod to subsidies under US Health Care Law in States without health exchanges

Jun 26, 2015 11:00 IST

The US Supreme Court on 25 June 2015 ruled that federal subsidies under the Patient Protection and Affordable Care Act (ACA), 2010 could be made available to individual States, even if those States did not set up their own insurance exchanges.

The judgment was delivered by a 9-judge bench in the King v. Burwell case with 6-3 division. The bench was headed by the Chief Justice John Robert.

The verdict will benefit 6.4 million people in the 34 states as they are eligible to receive health-insurance subsidies even though those States did not create insurance marketplaces to purchase their policies.

Health insurance marketplaces or health exchanges are organizations set up to facilitate the purchase of health insurance in each state in accordance with the ACA, 2010 or Obamacare.

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