On December 9, 2024, the United States District Court for the District of North Dakota issued a preliminary injunction in Kansas v. United States of America (Case No. 1:24-cv-00150) partially blocking implementation of a final rule. This final rule allowed Deferred Action for Childhood Arrivals (DACA) recipients and individuals in certain other noncitizen groups to enroll in a qualified health plan (QHP) through the Health Insurance Marketplace® (if otherwise eligible) for plan years 2024 and 2025, effective on November 1, 2024.
On December 23, 2024, the United States Court of Appeals in the Eighth Circuit lifted the temporary administrative stay of the preliminary injunction, which was issued following an appeal filed by the Department of Justice (No. 24-3521). As a result, DACA recipients and certain other noncitizen groups will not be able to enroll in Marketplace coverage in the 19 states that are involved in the lawsuit. These states are: Alabama, Arkansas, Florida, Idaho, Indiana, Iowa, Kansas, Kentucky, Missouri, Montana, Nebraska, New Hampshire, North Dakota, Ohio, South Carolina, South Dakota, Tennessee, Texas, and Virginia. All of those states except Idaho, Kentucky, and Virginia are served by Marketplaces on the Federal Platform.
Pursuant to this court order, DACA recipients and other noncitizens covered by the rule who reside in the following 19 plaintiff states shouldn’t attest to having eligible immigration status in applications for Marketplace coverage:
• Alabama
• Arkansas
• Florida
• Idaho
• Indiana
• Iowa
• Kansas
• Kentucky
• Missouri
• Montana
• Nebraska
• New Hampshire
• North Dakota
• Ohio
• South Carolina
• South Dakota
• Tennessee
• Texas
• Virginia
To further comply with the Court’s order, on the evening of December 26, 2024 the Marketplaces on the Federal platform will implement a technical change so that DACA recipients and those other noncitizens covered by the rule who attest to lawful presence will be found ineligible for QHP coverage in the 16 states above served by a Marketplace on the Federal platform. Following that technical change, the Marketplaces on the Federal platform will proceed with canceling any enrollments for 2025 Marketplace coverage selected by DACA recipients and other noncitizens covered by the rule in the 16 states. Any premiums paid for that 2025 coverage will be refunded by the insurance company. Impacted consumers will receive a notice from the Marketplace. DACA recipients and those other noncitizens covered by the rule who enrolled in 2024 QHP coverage will have their Marketplace enrollment terminated at the end of December 2024, and will not have Marketplace coverage starting in 2025.
Any impacted consumers who have had a change in their immigration status since they applied for Marketplace coverage are encouraged to update their Marketplace application to indicate their new immigration status. https://www.healthcare.gov/immigrants/immigration-status/
If you have any questions on this subject please reach out to Jenny Walden
