Supreme Court Upholds Health Care Reform

JOURNAL: ISSUE 2 - 2012

On June 28, 2012, the U.S. Supreme Court upheld the 2010 health care reform as the Patient Protection and Affordable Care Act ("ACA"). In a 5-4 opinion written by Chief Justice John Roberts, the Court found the individual mandate constitutional. As a result, the Court did not consider whether other provisions of the law must 
be severed; thus implementation of the Act continues full speed ahead.

While millions of Americans have already benefited from this law, the Court's landmark decision means that millions more will benefit as it is more fully implemented. It means that our members will continue to be able to cover their dependent children until the age of 26, will not have pre-existing condition limitations imposed upon dependent children, will not be subject to lifetime limitations in which benefits are no longer paid upon reaching a specific dollar limit, nor will members be subject to annual limits exceeding $1.2 million or rescissions of coverage. In 2014, health plans will no longer be able to exclude coverage for treatments based on pre-existing health conditions nor impose annual limits on the amount of coverage an individual may receive. There are many other provisions that the Act provides that will continue to benefit our members in years to come.

With respect to the Medicaid provisions of the ACA, the expansion of the Medicaid program survives, but the government may not withhold funding for a state's existing Medicaid program if that state chooses not to expand Medicaid coverage. As a result, it is unclear whether states will choose not to expand their current programs, though the benefits of doing so likely far outweigh political maneuvering.

"The ACA is just the first step on the path to improving health care," says BAC Secretary-Treasurer Henry Kramer. "BAC, together with our sister unions, must 
and will continue to press for more and better coverage for our members and for all Americans."