Federal Court Halts New ACA Enrollment Restrictions
A recent federal court decision has temporarily halted the implementation of several new restrictions on Affordable Care Act (ACA) Marketplace enrollment and eligibility. These new standards, finalized by the U.S. Department of Health and Human Services (HHS) in June 2025 and slated to take effect in August 2025, aimed to combat fraud within the Exchange system. However, a lawsuit filed by various groups and cities alleged the rule was improperly issued and created barriers to affordable healthcare. Consequently, on August 22, 2025, the U.S. District Court for the District of Maryland paused key provisions of the rule, including requirements for overdue premium payments, income verification processes, and eligibility for advance premium tax credits, while the litigation proceeds. This pause means that many of the stricter enrollment criteria will not be enforced as initially planned, though some other changes from the final rule, such as a shorter open enrollment period for 2027, remain in effect.
