U.S. Supreme Court Upholds Subsidies for States with Federally-Run Marketplaces

by bcbsm

| 2 min read

Blue Cross Blue Shield of Michigan and Blue Care Network of Michigan will continue to offer Michigan residents a wide variety of individual health plans and work with people to understand their ability to qualify for federal subsidies under the Affordable Care Act. In a 6-3 vote today, the U.S. Supreme Court upheld the application of federal financial assistance, commonly known as “subsidies,” in the 34 states operating a federally-run Health Insurance Marketplace to enroll consumers in individual health plans under the Affordable Care Act. “We are pleased with the Supreme Court’s ruling, given that the alternative would have been extremely disruptive to Michigan’s health insurance market,” said Daniel J. Loepp, president and CEO of Blue Cross Blue Shield of Michigan. “Now that the uncertainty of the subsidies is over, the ACA deserves a bipartisan and well-intended effort to improve it going forward.” About 80 percent of BCBSM’s individual membership receives some form of subsidy. Eligible consumers who have received financial assistance during the first two years of the Affordable Care Act will continue to have the option for subsidized care during the upcoming 2016 enrollment period, starting Nov. 1. Consumers who may be newly eligible can determine their eligibility through or by calling a Blue Cross Health Plan Advisor or licensed agent. “This decision allows thousands of Michigan consumers to stay covered, and gives those who remain uninsured the opportunity to explore their options knowing financial assistance will be available now and into the future, giving those who need help a sense of security when buying health insurance,” said Terry Burke, vice president for Individual Business at BCBSM. “People deserve stable and affordable health coverage. Affordable coverage gives more people the opportunity to get and stay covered. This has always been Blue Cross’ goal.” With the Supreme Court’s clarification of the use of subsidies, Blue Cross Blue Shield of Michigan will continue to provide consumers with choice, in both products and price, by offering 44 product options throughout Michigan’s 83 counties – up from 41 in 2015 – starting Nov. 1, pending regulatory approval, for the plan year starting Jan. 1, 2016. Blue Cross Blue Shield of Michigan, a nonprofit mutual insurance company, is an independent licensee of the Blue Cross and Blue Shield Association. For more company information, visit and Photo Credit: David

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