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'Obamacare on the steps of the Supreme Court' (Will O'Neil vía Flickr). 
 
 
 

Supreme Court upholds federal health care subsidies

In a 6-3 decision, the justices rejected a legal challenge which could have left 6.4 million people without affordable coverage.

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The U.S. Supreme Court today ruled to maintain insurance subsides for millions of low and middle income Americans as part of President Barack Obama's health care reform law.

In a 6-3 decision, the justices rejected a legal challenge which could have left 6.4 million people without affordable coverage.

Plaintiffs argued that the the subsidies in 34 states which have failed or refused to set up insurance exchanges were barred under the law.

If the court had ruled in their favor, people who got coverage in the federal marketplace would have lost the subsidies — the vast majority of those insured by the ACA. Only 16 states have set up their own exchanges. 

In Pennsylvania, Governor Tom Wolf put in place a contingency in the event the court ruled against maintaining the federal subsidies.

“I am pleased to say that we will no longer need to rely on this plan,” Wolf said. “My administration will be notifying the federal government that we will be withdrawing our plan to set up a state based health insurance marketplace in Pennsylvania.”

As a result of this decision, roughly 382,000 Pennsylvanians will be able to keep the subsidies to help them afford health care.

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