Nashville, Tenn.-based Hospital Corporation of America has filed a friend-of-the-court brief in King v. Burwell, the case that will determine whether people in all states will receive health insurance subsidies under the Patient Protection and Affordable Care Act.
In its brief, HCA shows strong support for keeping health insurance subsidies in all states saying the petitioners' legal theory in the case would lead to "absurd consequences."
Although the health reform law is beginning to have a positive effect on HCA's financials, as it recently announced its revenue increased and its profit shot up $103 million in the fourth quarter of 2014, the hospital operator's arguments weren't all self-serving.
HCA relied on data from its own hospitals to show the PPACA has led to a decrease in the number of people relying on the ER for care that could be provided in a less expensive setting. The hospital operator estimated that "uninsured patients are 300 percent more likely than exchange patients to rely on ER care."
The hospital operator also highlighted that at the same time exchange patients are relying on the ER less they are relying on outpatient care more than the uninsured population. The HCA argued that evidences that "care is being provided in more appropriate and cost-effective settings."
HCA is not the only major healthcare player to come out in support of keeping subsidies in all states — the American Hospital Association joined by the Federation of American Hospitals, Association of American Medical Colleges, and America's EssentialHospitals also recently submitted a friend-of-the-court brief in King v. Burwell.
The case is set to be heard by the Supreme Court March 4.
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