Two U.S. appeals courts on Tuesday issued conflicting decisions on subsidies for health insurance coverage purchased on federal health exchanges, according to major news outlets.
Two hours after a three-judge panel for the U.S. Court of Appeals in Washington overturned a lower court ruling by voting 2-1 against subsidies on federal health exchanges, a federal appeals court in Richmond, Va., unanimously voted in favor of them.
At issue is whether tax credits can be offered to consumers outside of state-run health exchanges instituted by the Affordable Care Act, also known as Obamacare. Only 16 states have established their own exchanges, so people in most states—including Missouri and Kansas—must use a federal-run exchange instead.
Elizabeth Wydra, chief counsel at the liberal Constitutional Accountability Center, told USA Today: “If there is a split in the circuits, then I think the Supreme Court would have to step in.”