The US Supreme Courts decision on Obamacare has been announced as they have upheld the individual mandate as a tax that requires the general public to pay for health insurance.
According to Reuters, what is often referred to as Obamacare, Obama’s health care plan signed into law over two years ago has been announced as constitutional by the US Supreme Court early Thursday morning. The Patient Protection and Affordable Care Act, PPACA for short, is the principal health care reform legislation that requires individuals not covered by employer or government-sponsored insurance plans to maintain minimal essential health insurance coverage or pay a penalty unless exempted for religious beliefs or financial hardship. The PPACA also requires that health insurance programs increase insurance coverage of pre-existing conditions and expands access to insurance to 30 million Americans.
The US Supreme Court justices must determine whether it is legal and constitutional to force the American public to pay for health insurance. Before PPACA made its way to the US Supreme Court, as of January 2012, two of four federal appellate courtshave upheld it; a third declared the individual mandate unconstitutional, while a fourth ruled the federal Anti-Injunction Actprevents the issue from being decided until taxpayers begin paying penalties in 2015. The Supreme Court heard six hours of oral argument on March 26–28, 2012 before making its final decision of ruling in favor of the plan.
This is a major win for the Democratic Party and current president Barack Obama, who was in full support of the Act. While the decision was split 5-4, the bottom line is the US Supreme Court has deemed what is known as Obamacare as constitutional. Barack Obama is essentially the first president in the modern era of the United States to implement a major health care reform act. However, the provisions of the Act will not go into effect until 2018.
US Supreme Courts Decision on Obamacare Announced: PPACA is Constitutional.