Courts to Keep Battling Over Healthcare Reform

12.15.2010
Issues & Policies

A federal judge in Virginia has struck down a provision of federal healthcare reform that would require all Americans to purchase health insurance.

This week, a similar challenge to the new law, joined by 20 states and the National Federation of Independent Businesses, is being heard in a court in Florida.

While the latest court ruling throws doubt into the rollout of federal healthcare reform, the ultimate fate of the reform likely will rest in the U.S. Supreme Court. At issue, in the opinion of Judge Henry Hudson, “is the authority of Congress to compel anyone to purchase health insurance.”

He ruled that Congress does not have that power. If upheld, the ruling could seriously impact the future validity of the healthcare system.

If younger, healthier people are allowed not to participate, the resulting insurance pool will be less healthy and therefore more costly—especially since the federal reform requires insurance carriers to cover anyone who applies.

The court battles are likely to continue for some time.

 

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