TRENTON, N.J. — New Jersey Attorney General Matthew J. Platkin has joined a coalition of states in a lawsuit challenging a federal rule issued by the U.S. Department of Health and Human Services that could strip health insurance from up to 1.8 million people, including thousands in New Jersey.
Filed ahead of the rule’s August 25 effective date, the lawsuit argues the changes violate the Administrative Procedure Act and would unlawfully impose new barriers to enrollment under the Affordable Care Act (ACA). The final rule includes new verification requirements, shortened enrollment periods, and added costs for consumers who previously qualified for $0 premiums.
“Deliberately making it harder for millions of residents to access affordable health insurance is wrong and unlawful,” said Attorney General Platkin.
The complaint, backed by 20 other states and the governor of Pennsylvania, seeks to halt the implementation of the rule, citing potential harm to state budgets, consumers, and healthcare systems. Plaintiffs argue that the rule would increase the number of uninsured residents and raise state spending on Medicaid, emergency care, and related services.
The suit notes that New Jersey’s state-run marketplace, Get Covered New Jersey, saw record enrollment in 2025 with more than 513,000 residents signing up for coverage — a 108% increase since the state took over operations in 2020. Officials say the rule threatens that progress by increasing paperwork burdens, limiting access, and inflating out-of-pocket costs.
