Michigan hospitals await key court ruling on Affordable Care Act law | Michigan Radio

Michigan hospitals await key court ruling on Affordable Care Act law

Jun 23, 2015

Michigan hospitals may pay a price if the U.S. Supreme Court strikes down a key provision of the Affordable Care Act.

If the U.S. Supreme Court rules with the plaintiffs in King v. Burwell, Michigan hospitals may have to absorb the cost of more unpaid medical care.
Credit Steve Carmody / Michigan Radio

King v. Burwell is one of the final seven cases before the high court this term.   

The case involves a challenge to a specific portion of the federal health care insurance law dealing with federal subsidies. 

The plaintiffs claim the law only authorizes federal subsidies to help people pay for insurance through state marketplaces.

Michigan is one of 34 states operating under federal insurance marketplaces.

More than 200,000 Michiganders get subsidies to pay for their Obamacare policies. Without the subsidy, many would not be able to afford their health care insurance. Nationwide, the U.S. Supreme Court decision could affect 7 million people.

“If we don’t keep people covered, then all hospitals have to make tough decisions about how to balance uncompensated care with the number of services they offer,” says Laura Appel, with the Michigan Health and Hospital Association. 

Appel hopes state lawmakers will step in if the Supreme Court rules against the Obama administration.