Health Care Reform Update - April 4, 2011

Implementation of the Affordable Care Act (ACA) On March 27th the National Association of Insurance Commissioners (NAIC) met to consider endorsing legislation introduced by Reps. Mike Rogers (R-MI) and John Barrow (D-GA) to pull brokers’ commissions out of the medical loss ratio (MLR). The NAIC ultimately voted not to hold a vote but to have a committee spend a month studying the impact of the MLR on brokers’ commissions before making any decision on the legislation.

On March 28th Virginia Attorney General Ken Cuccinelli (R) filed a brief in the 4th Circuit Court of Appeals that the Court should uphold Judge Roger Vinson’s ruling that the health care law is unconstitutional and specifically supporting the notion that the mandate cannot be severed from the law. The Supreme Court is scheduled to consider Cuccinelli’s request to fast-track his lawsuit on April 15th. A federal judge initially ruled in favor of Cuccinelli that the mandate is unconstitutional but also allowed the mandate to be severed from the law.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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