UnitedHealth and Peers Gain Temporary Relief as ACA Rule Pause Implemented

Baltimore, Aug. 26, 2025 - A federal judge today issued a nationwide injunction pausing key provisions of the Trump administration’s Marketplace Integrity and Affordability Rule under the Affordable Care Act (ACA), delivering immediate relief to UnitedHealth Group (NYSE: UNH) and other major insurers.

In a ruling from the U.S. District Court for the District of Maryland, Judge Brendan Hurson suspended nearly all slated changes set to take effect Aug. 25, finding that public health advocates and the cities of Chicago and Baltimore demonstrated a likelihood of irreparable harm if new enrollment barriers and fee structures were enforced. The injunction halts measures intended to curb improper enrollments and the flow of federal funds in ACA marketplace plans.

UnitedHealth, Centene (NYSE: CNC), Cigna (NYSE: CI) and Molina Healthcare had warned that the rule’s enhanced verification requirements and higher administrative fees could lead to over 2 million consumers losing coverage in 2026. Insurers also cited mounting medical costs among ACA enrollees, which had already strained profitability this year.

“This temporary pause allows us to continue serving our members without interruption while the legal process unfolds,” said a spokesperson for UnitedHealth Group. “We remain committed to providing affordable, high-quality coverage to those who rely on the marketplace.”

The administration’s rule-finalized in June by the Centers for Medicare & Medicaid Services-aimed to tighten income and identity verification, reduce improper payments and discourage subsidized plan gaming. Opponents argued that its implementation timeline was too compressed and that the government had not fully assessed consumer impacts.

In his order, Judge Hurson directed both parties to submit supplemental briefs by mid-October and scheduled oral arguments for late November. Until then, insurers will operate under existing ACA regulations.

The ruling coincides with broader federal moves to relax oversight of short-term health plans, which offer lower premiums but fewer benefits than ACA policies. HHS signaled it will soon propose amendments to ease restrictions on those plans, further diversifying options for consumers and insurers alike.