Exempt No More: An Examination of the Ninth Circuit’s Recent Application of Section 501(C)(4) to Non-Profit Health Insurance Providers
The recent decision of the Ninth Circuit Court of Appeals in Vision Service Plan v. United States has created a great deal of uncertainty in the health care industry concerning the requirements that a non-profit health insurance provider must meet in order to qualify as a tax-exempt social welfare organization. This Note will analyze the impact of the Ninth Circuit’s decision on both the health care industry and on purchasers of health insurance. In addition, this Note will argue that the United States Congress should, as a matter of public policy, take immediate legislative action to establish a clearer and more liberal set of guidelines to allow non-profit health insurance providers such as Vision Service Plan to continue to operate under a non-profit, tax-exempt business model in order to keep quality health care accessible and affordable to all Americans. Read More …