President Barack Obama’s efforts to save health insurance companies from bankruptcy by reopening their health insurance markets has been blocked by the courts.
Obama’s attorneys have argued that the courts cannot “guarantee that the law will remain in place,” and that the administration has failed to adequately explain its plan to help the insurance companies.
The Obama administration also argued that Congress’ refusal to renew its Medicaid waiver to help insurers has prevented the states from giving the health insurance programs an effective boost.
In his brief, the White House said Congress has not provided the Obama administration with a “robust justification” for its actions, including providing billions of dollars to help insurance companies with lower rates and better coverage.
It also said the law has created a “complex and fragmented marketplace” that could create “a serious risk of destabilization of health care services.”
A court will decide on the lawsuit next week, but the Obama team has not indicated how it plans to proceed.
Democrats have been critical of the administration’s efforts.
“If the president can’t stop the Obamacare crisis, we will,” said Rep. Jim Clyburn (D-S.C.), a member of the House Committee on Oversight and Government Reform.
Republicans have also criticized the president for taking a short-term approach to a long-term crisis.
For example, in the past two weeks, the Obama White House has been unable to give Congress an emergency funding bill that would give states access to an extra $9 billion in funding over the next 10 years to help cover insurers, which could provide a boost to insurers’ finances.