Justices Take Obamacare Coverage Dispute Over Preventive Care

Jan. 10, 2025, 10:55 PM UTC

The US Supreme Court agreed to review a lower court ruling that found some Obamacare coverage requirements for preventive services unlawful, but kept them enforceable nationwide.

In an order Friday, the court said it will hear the Biden administration’s appeal of that decision by the US Court of Appeals for the Fifth Circuit holding the structure of the US Preventive Services Task Force unconstitutional under the Appointments Clause.

The task force is charged with recommending some of the medical services health insurers must cover free-of-charge under the Affordable Care Act.

Task force members “are principal officers under Article II of the Constitution who must be—yet have not been—nominated by the President and confirmed by the Senate,” the Fifth Circuit said.

Solicitor General Elizabeth Prelogar said the decision jeopardizes the availability of things like cancer screenings, which have improved health outcomes and lowered healthcare costs.

The trial court had blocked the government from forcing insurers nationwide to cover the services the task force recommended, but the Fifth Circuit said that relief was too broad. It limited its ruling to the two small businesses and four Texas residents who challenged the board’s structure in objecting to the ACA’s coverage of the HIV preventive drug PrEP.

In urging the justices to take the case, the challengers warned a new lawsuit that seeks nationwide relief could be filed in the future. The Fifth Circuit left the door open for someone to challenge the government’s actions under the Administrative Procedure Act, they said.

The case is Becerra v. Braidwood Mgmt., Inc., U.S., No 24-316.


To contact the reporter on this story: Lydia Wheeler in Washington at lwheeler@bloomberglaw.com

To contact the editors responsible for this story: Seth Stern at sstern@bloomberglaw.com; John Crawley at jcrawley@bloomberglaw.com

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