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Indiana has a lot at stake in health care subsidy lawsuit

VALPARAISO, Ind. (AP) – Nearly 200,000 Indiana residents who purchased health insurance through a federal health exchange could lose the subsidies that help them afford the coverage under a case before the U.S. Supreme Court.

The case argued Wednesday contends the Affordable Care Act allows subsidies only in states that set up their own insurance exchanges. Indiana is using an exchange operated by the federal government.

The Robert Wood Johnson Foundation and Urban Institute says about 225,000 Indiana residents use an average of $4,110 in tax credits annually to buy coverage through the marketplace. The (Munster) Times reports an estimated 195,000 could become uninsured if the court rules for the plaintiffs.

States without exchanges could establish them to continue receiving subsidies. But Gov. Mike Pence opposes a state-based exchange.