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Photo: Samuel Corum/Anadolu Agency/Getty Images

The Affordable Care Act’s insurance market has not been materially affected by the elimination of the individual mandate penalty — undercutting a key argument in the lawsuit urging the courts to strike down the health care law.

The big picture: Healthy enrollees have not left the market in droves, premiums have not spiked and there has been no market death spiral.

Details: Premiums spiked in earlier years, as insurers figured out the market and anticipated the elimination of the penalty, but are declining by an average of 2-3% in 2020.

  • Healthy people do not appear to have fled the market. ACA enrollees spent fewer days in the hospital in 2019 than in the previous four years.
  • The financial health of insurers participating in the ACA marketplaces is stable, and dramatically improved since the early years of the ACA. 
  • Other elements of the ACA, such as the Medicaid expansion, appear to have been largely unaffected by the elimination of the penalty.

Flashback: ACA historians will remember that many critics of the mandate believed the penalty was too weak to drive the healthy into the marketplaces from the start.

  • And real-world experience has shown that premium subsidies have been more important than the mandate penalty.

There are still well-documented problems in the individual market. 

  • Policies are unaffordable for many people who do not receive subsidies. Deductibles are very high (averaging $4,544 per person for a “benchmark” plan).
  • And insurer participation in some rural areas remains fragile.    

But these problems existed with the mandate penalty in effect.  

  • Experience on the ground has demonstrated that the marketplaces and the larger ACA continue to function, even when “severed” from the mandate penalty.

Go deeper

DOJ won't investigate nursing home deaths in N.Y. and 2 other states

People who've lost loved ones due to COVID-19 while they were in New York nursing homes attend a March protest and vigil in New York City. As of this month, Photo: Spencer Platt/Getty Images

The Department of Justice has decided not to launch a civil rights investigation into whether policies in New York, Pennsylvania and Michigan contributed to pandemic deaths in nursing homes, according to a letter sent to Republicans.

Why it matters: The Trump DOJ requested data from the three states plus New Jersey last August "amid still-unanswered questions about whether some states, especially New York, inadvertently worsened the pandemic death toll by requiring nursing homes to accept residents previously hospitalized for COVID-19," per AP.

Former Blizzard CEO says he "failed” women at the studio

Image: Neville Elder / Getty Images

Mike Morhaime, who co-founded and worked at video game studio Blizzard for 28 years, has apologized publicly for toxic work conditions at his former studio, which is now the subject of a discrimination and harassment lawsuit by the state of California.

Why it matters: Morhaime is no longer at Blizzard, but was its leader for most of its existence and therefore was in charge when much of what is alleged in California’s suit would have occurred.

Updated 4 hours ago - Sports

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Go deeper: Full Axios coverage

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