WASHINGTON, D.C. (MPRN)-- The US Supreme Court has upheld "Obamacare" subsidies in states that use the federal insurance exchange.
The decision affects more than 228,000 Michiganders who claim the credit.
A decision to strike down the subsidies would have also been a blow to Michigan's Medicaid expansion under the Affordable Care Act.
Gov. Rick Snyder says now that health insurance tax credits are intact for Michigan residents, his administration will focus on ensuring 600,000 people keep receiving expanded Medicaid coverage. The Republican said Thursday he appreciates the "deep uncertainty of this issue" being resolved.
The U.S. Supreme Court upheld a key component of the federal health law. It leaves Snyder with one less obstacle while seeking a waiver needed from the Obama administration or else Michigan's Medicaid expansion will end in 2016.
State law requires that enrollees in the program for four years have the option to buy insurance in a federal exchange. The waiver process could have been disrupted by an unfavorable ruling.
Snyder says regardless of people's feelings about the health overhaul, Michigan's Medicaid expansion has been an "outstanding success."
U.S. Senator Gary Peters had this response following the ruling:
“I applaud the Supreme Court’s ruling today to uphold the tax credits that have meant affordable health care coverage for millions of Americans through the federal exchange. The intent of the Affordable Care Act has always been crystal clear: all Americans should have access to affordable health insurance, regardless of what state they live in. Eliminating these tax credits would have created a catastrophe for the nation’s health care system, taking away affordable health insurance from millions of families and leading to skyrocketing premiums.
“Nearly 300,000 Michiganders are enrolled in health coverage through the federal exchange, making our state’s one of the most successful marketplaces in the country. Additionally, nearly 80 percent of these individuals count on the federal subsidies guaranteeing affordable coverage that the Supreme Court protected in today’s ruling.
“Because of the ACA, our country has finally begun to bring down health care cost increases. Insurance companies can no longer discriminate against people with pre-existing conditions. Women cannot be charged more for their health care simply because of their gender. Millions of Americans are gaining some measure of security and stability through affordable health coverage. It is clear that the law is working, and I hope today’s ruling encourages my Republican colleagues to stop trying to repeal this law and start working across the aisle to improve access to quality, affordable health care for all Americans.”