INDIANAPOLIS | Gov. Mike Pence has no qualms about his decision to not create a state health exchange under the Affordable Care Act, even after a federal appeals court ruled this week that residents in states lacking an exchange are not entitled to federal subsidies for health insurance purchases.
"I stand by our decision not to establish a state-based exchange in Indiana," Pence said Friday. "The truth is, I think that ordering every American to purchase health insurance — whether they want it, or need it or not — was the wrong idea to begin with, and I think Obamacare should be repealed."
According to federal health officials, a total of 132,423 Hoosiers purchased health insurance through March 31 via the healthcare.gov marketplace set up by the federal government to serve as Indiana's exchange.
Of those, 117,761 people, or 89 percent, received federal subsidies averaging $4,000 per person to defray the cost of their health insurance purchase.
If the court decision banning subsidies for health insurance purchased through a federally-run exchange is upheld in subsequent appeals, nearly all of those Hoosiers likely will lose their health coverage.
State Sen. Karen Tallian, D-Ogden Dunes, said that prospect makes it more important than ever for Indiana establish a state exchange during the 2015 legislative session.
Even if Tallian were able to win approval by the Republican-controlled General Assembly for a state exchange, Pence said he still believes it's the wrong way to go.
"The fact that a number of states that set up state exchanges — at considerable cost — have now begun to unwind those state exchanges, I think is a confirmation of that," he said.
The Republican governor insisted the best course would be for Congress to dump Obamacare altogether and entirely rethink the federal role in health care.
"My hope is at some near time in the future that we'll elect the kind of leadership that will repeal Obamacare and start over with the kind of health care reform that puts patients first, but also gives states the kind of flexibility to create programs that will respect the dignity and create opportunities for people to provide for themselves and their families, like the Healthy Indiana Plan does," Pence said.
The appellate decision on federal health insurance subsidies is on hold while a higher court reviews it.
Another federal appeals court separately ruled this week that the Affordable Care Act authorizes subsidies regardless of whether the insurance was purchased through a state or federal exchange. That decision also is under review.
The Pence administration is party to a third federal lawsuit on the same issue that's yet to go to trial.