The death of U.S. Supreme Court Justice Antonin Scalia, who famously said the Affordable Care Act should be called “SCOTUScare,” leaves in limbo a number of health care-related cases. The news also quickly sparked a debate over who would replace him amid the presidential campaign.
The Supreme Court justices are considering a number of important health care cases focusing on topics including abortion and the ACA’s contraception mandate.
The court is also weighing a case about data sharing with potential implications for insurers and state health care reform efforts and another case with the potential to reduce—or increase—the number of False Claims Act suits brought against health care providers and other companies.
Some people may not receive the necessary ObamaCare forms, 1095-B or 1095-C, until shortly before the April 15 tax filing deadline because the IRS has pushed back the due date from Jan. 31 to March 31 for employers and others that provide insurance.
What’s a consumer to do? File anyway, even without the form, the IRS says. If people make a mistake on their return because they didn’t have the 1095-B or 1095-C forms and relied on information from their employer or other coverage providers instead, they won’t have to amend their return, the IRS said.
The number of people who signed up for health insurance for 2016 on the state and federal exchanges was up to 40% lower than earlier government and private estimates, which some say is evidence that the plans are too expensive and that people would rather pay a penalty than buy them.
In 2010, the non-partisan Rand Corporation estimated 27 million people would have exchange policies this year and the Congressional Budget Office at that time was estimating 21 million for 2016. CBO even said last June that 20 million people would have plans purchased on the exchanges this year. Just 12.7 million signed up for plans, however, by the end of open enrollment Jan. 31 and about 1 million people are expected to drop their plans—or be dropped when they don’t pay their premiums.
Health insurers that sold plans on the exchanges in 2015 and enrolled droves of high-cost members, could haul away as much as $7.7 billion this year, as part of the healthcare law’s reinsurance program.
The CMS released a memo (PDF) late Friday that said the agency expects its jar of reinsurance money will total $7.7 billion. The payouts, to be issued this year, will reflect data from the 2015 benefit year.
The late Supreme Court Justice Antonin Scalia wasn’t a fan of the Affordable Care Act and opposed it when it came before the nation’s high court every time.
Known for his blunt writings, here are some highlights from a dissenting opinion he wrote, published June 15, 2015, in what was the high court’s second major decision upholding President Obama’s signature legislative achievement. Scalia wrote the following passages in the famous King vs. Burwell case on behalf of a three-vote minority that included Justices Samuel Alito and Clarence Thomas. The entire dissent can be read here.
Click through to read five of the best quotes from Scalia’s dissent.
Tax season has alerted Sen. David Vitter (R-La.) to a new way to investigate a provision of the Affordable Care Act that allows congressional members and staffers to avoid the federal exchanges.
The Internal Revenue Services has sent 1095-C forms to congressional staffers and members in recent weeks stating that Congress is considered a large employer. That statement is at odds with a rule allowing members and their staffs to purchase insurance plans on an exchange for small business with less than 50 employees.
The Louisiana senator sent a letter to the IRS on Wednesday, asking the agency to confirm that Congress is a large employer.
On more than one occasion, President Obama has said that the core idea behind ObamaCare came from the Heritage Foundation and Politifact rates the claim as “mostly true.” More than one left-of-center commentator has made the same charge, often tracing the lineage from the Heritage building in Washington, DC to Mitt Romney’s health reform in Massachusetts to the Obama administration. Most recently, John Aravosis writing at the America Blog claimed that the core idea behind ObamaCare (the individual mandate) comes from a 1989 lecture by Stuart Butler, then a health economist at Heritage. The same notion is almost as common on the right as it is on the left.
There is just one problem. This is all malarkey.
What is ObamaCare? If you sift through the hundreds of pages of legislation, the thousands of pages of regulations and all of the ridiculous complexity you will find that ObamaCare in its essence is a bastardized form of what health economists call “managed competition.”
The government granted up to $750 million in ObamaCare tax credits to 500,000 persons who weren’t eligible, many of whom may have been illegal immigrants, a Senate report says.
Half a million individuals mistakenly received the tax credits because of a lapse in verification of their legal status and a lack of coordination among government agencies, the report determined.
Although they failed to verify citizenship or their legal status, they got the “advanced premium” tax credits under the Affordable Care Act. The taxpayer dollars are awarded on the basis of income to help lower premium costs on ObamaCare’s marketplace insurance exchanges.
Both cybersecurity and customer service at the Internal Revenue Service have suffered because of ObamaCare, the agency’s head said in remarks to Congress on Thursday.
“Congress, as I noted in my testimony, has underfunded … the Affordable Care Act,” IRS Commissioner John Koskinen told a panel of the House Appropriations Committee.
Koskinen delivered his remarks in response to a question from Chairman Rep. Hal Rogers who pointed out that Congress had “increased funding specifically for taxpayer services” in 2014 and 2016.
Koskinen said it didn’t matter where Congress intended the money to go, explaining the agency had pulled funding for customer service and cybersecurity in order to ensure compliance with the ACA.
After most health insurers racked up financial losses on Affordable Care Act plans in 2014, many companies’ results for last year worsened, creating heavy pressure to improve performance this year.
An analysis of filings by not-for-profit Blue Cross and Blue Shield insurers—among the biggest players in the law’s exchanges for buying individual insurance—shows the challenge facing the industry as it seeks a turnaround in the individual business. They paid out more for health care in the first three quarters of 2015 than they took in from premiums on their individual plans.
On Wednesday, Humana Inc. became the latest of the big publicly traded companies to flag problems, saying its losses on individual plans deepened last year. Humana included in its 2015 results $176 million in losses it expects to incur on such plans in 2016.