|January 22, 2018
Community Health Options Sues Federal Government for $5.7 Million
The lawsuit was filed in federal court and claims that the government illegally stopped the reimbursement payments. Federal officials have stated that the payments were stopped as Congress had not appropriated funds for the payments.
Under the provisions of the Affordable Care Act, insurers selling policies in the marketplace exchange reduce premiums for policy holders who are eligible for tax credits and the federal government is required to reimburse insurers for those reductions in premium.
"The statutory guarantee of reimbursement is one of the ACA's linchpins," notes the plaintiff's filing in the U.S. Court of Federal Claims.
Community Health Options also sued the federal government in 2016 for $23 million over a program designed to shield insurers from losses and is appealing a federal judge's ruling against it in that case.
(From Portland Press Herald, Jan. 13)< Previous Article | Next Article >
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