Obamacare hit by ruling, but subsidies to continue
WASHINGTON (AP) — A federal appeals court delivered a potentially serious setback to President Barack Obama's health care law Tuesday, imperiling billions of dollars in subsidies for many low- and middle-income people who bought policies.
The Obama administration immediately declared that those policyholders would keep getting financial aid for their premiums as it seeks review of the ruling. White House spokesman Josh Earnest said the decision would have "no practical impact" on tax credits as the case works its way through further appeals.
In the case, decided by the U.S. Court of Appeals for the District of Columbia Circuit, a group of small business owners argued that the law authorizes subsidies only for people who buy insurance through markets established by the states — not by the federal government.
A divided court agreed, in a 2-1 decision that could mean premium increases for more than half the 8 million Americans who have purchased taxpayer-subsidized coverage under the law. The ruling affects consumers who bought coverage in the 36 states served by the federal insurance marketplace, or exchange.
http://bigstory.ap.org/article/federal-appeals-court-deals-blow-health-law
