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Federal judge blocks key provisions of ACA rule

  • HANM
  • Jul 18
  • 1 min read

Federal Judge blocks key components of the CMS Affordable Care Act Rule set to go into effect July 20, 2026. A district court blocked 8 provisions of the CMS sweeping rule scheduled to be implemented on July 20, 2026. The provisions blocked were deemed arbitrary and/or in violation of the Affordable Care Act. The plaintiffs argued the provisions in the rule would impose barriers to coverage, increase costs for enrollees and permit insurers to offer skimpier coverage.


The provisions blocked:


  • The agency’s expanded hardship exemption, which effectively broadens catastrophic

    coverage eligibility with junk plans.

  • Revised network adequacy standards permitting states to oversee the review process.

  • Two provisions requiring stricter income verification when a person’s projected annual

    income either doesn’t match federal tax data, or when that data isn’t available.

  • CMS’ reinstatement of a policy regarding failure to reconcile tax data.

  • New verification requirements for special enrollment periods.

  • CMS’ updated cost-sharing methodology for bronze plans.

  • The elimination of standardized plans.


 
 

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