Bloomberg Law
April 27, 2020, 2:09 PMUpdated: April 27, 2020, 9:06 PM

Insurers Win $12 Billion Fight Over Obamacare Payments (2)

Mary Anne Pazanowski
Mary Anne Pazanowski
Legal Reporter

The U.S. Supreme Court on Monday said the federal government will have to pay health insurers about $12 billion under an Obamacare program to make up for losses they incurred by offering coverage to sicker, uninsured people.

The Affordable Care Act’s “risk corridor” section obligated the government to pay these insurers in exchange for selling plans at affordable premiums to a group of people who previously would have been denied coverage or charged more, the opinion by Justice Sonia Sotomayor said.

The decision ends long-standing litigation and vindicates the rights of insurers who started selling plans on ACA exchanges before ...

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