SIIA Amicus Participation Contributes to Positive Judicial Outcome

April 17, 2013 — The United States Supreme Court yesterday handed down a unanimous ruling in the case of U.S. Airways, Inc. v. McCutchen that is widely viewed as a major win for employers who sponsor self-insured group health plans. The Self-Insurance Institute of America, Inc. (SIIA) filed an amicus brief in the case, in partnership with the National Association of Subrogation Professionals (NASP), providing important public policy and legal arguments.

The case focused on whether plans would remain able to enforce the terms and conditions of their subrogation/reimbursement clauses as written or, as was the ruling of the Third Circuit Court of Appeals, plans would have to reduce their interests to account for the common fund doctrine and the made-whole rule even when the plan specifically exempted itself from the operation of these doctrines. Or more simply put, can courts intervene to circumvent the lawful decisions of plan sponsors.

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