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Supreme Court Strikes Down State Regulation of Health Plan Coverage Decisions

Supreme Court Strikes Down State Regulation of Health Plan Coverage Decisions


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by Gayle M. Meadors, P.C.
On June 21, 2004, the United States Supreme Court addressed a thorny issue that had been festering under the Employee Retirement Income Security Act of 1974 (ERISA). ERISA health benefit plans are for the most part subject to only federal law, whereas states are generally allowed to regulate insurance. The issue under review in this case was whether a state law granting plan participants the right to review health-plan denials would be upheld when the plan is subject to ERISA.