Benefits Groups Denied ACA Reinsurance Fee Recovery on Appeal

Three health benefits providers based in Washington, DC, failed to convince a federal appeals court they have a right to be reimbursed for their Affordable Care Act payments.

The providers’ mandatory contributions to the ACA’s Transitional Reinsurance Program can’t be claimed as property under the Fifth Amendment’s takings clause, the US Court of Appeals for the Federal Circuit ruled in its Thursday decision affirming summary judgment for the Department of Health and Human Services.

The self-insured, multiemployer health plans sued the United States in 2019, alleging their reinsurance ...