Obama administration’s ACA insurance standards rule goes beyond federal law: 5 takeaways from new court ruling

The Obama administration has exceeded federal law by mandating Americans purchase health insurance adhering to the Affordable Care Act standards, a federal appeals court found, according to The New York Times.

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Here are five takeaways:

1. The court ruled Americans are allowed to purchase health insurance falling outside of the ACA regulations.

2. In 2014, the Obama administration stopped consumers from purchasing only fixed indemnity policies. The administration allowed purchase of this insurance only if the consumer also purchased comprehensive coverage meeting the ACA standards.

3. The Obama administration argued fixed indemnity policies don’t provide enough coverage or don’t “provide protection against major medical expenses,” according to a statement.

4. Approximately 4 million consumers currently have fixed indemnity policies as their only health insurance policy.

5. The federal appeals court upheld the previous decision made in the Federal District Court.

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