Clarence Thomas’ $267K RV Reveals Issues in US Healthcare
TL/DR –
Two Democratic senators have requested a criminal investigation into Supreme Court Justice Clarence Thomas over a loan for a luxury RV provided by an executive at UnitedHealth Group, one of America’s largest health insurers. This is in the context of Thomas’ decisions related to cases involving health insurance, including a 2004 unanimous court ruling that benefited the industry by shielding insurers from damages if they refuse to cover certain services. Additionally, Thomas’ non-disclosure of two decades worth of luxury gifts from a conservative billionaire and the revelation of a substantial or fully forgiven loan for a luxury RV has prompted calls for investigation into whether these gifts were reported on tax filings and their potential influence on Thomas’ rulings.
Democratic Senators Demand Investigation into Supreme Court Justice over RV Loan
Two Democratic senators recently requested a criminal investigation into Supreme Court Justice Clarence Thomas concerning a loan for a luxury RV from a UnitedHealth Group executive. Thomas allegedly recused himself from two UnitedHealth cases while the loan was active, but participated in another health insurance case, resulting in a ruling that broadly benefited the sector.
The loan, issued by health insurance executive Anthony Welters for a $267,230 motor coach, came under scrutiny after its exposure by The New York Times. Senate Democrats investigating Thomas suspect that much or possibly all of the loan was eventually forgiven. They are asking the Justice Department to investigate whether Thomas reported the forgiven portion of the loan on his taxes.
Impact of Thomas’ Health Insurance Opinion
Mark DeBofsky, an employee benefits lawyer, suggests that the Supreme Court justice’s health insurance opinion has ongoing repercussions. “People in dire need of specific medical care who are denied by their insurance company and suffer as a result have no recompense for what could have been an unnecessary death or serious injury,” states DeBofsky.
Thomas’ Failure to Disclose Luxury Gifts
Last year, ProPublica reported that Thomas received and failed to disclose two decades worth of luxury gifts from conservative billionaire Harlan Crow, including free private jet and superyacht trips and boarding school tuition for Thomas’ grandnephew.
UnitedHealth’s Ties to the Aetna Health Case
Although UnitedHealth was not directly involved in the Aetna Health case, the company was part of two trade associations that filed a brief urging the Supreme Court to side with the insurers. Federal law requires Supreme Court justices to recuse themselves in any case where their “impartiality might reasonably be questioned.” It is unclear why Thomas did not withdraw from the Aetna Health case.
Outcome and Implication of the Aetna Health Case
The unanimous ruling in the Aetna Health case, authored by Thomas, expanded insurers’ tool for limiting liability: ERISA. The Employee Retirement Income Security Act, passed in 1974 to protect employee benefits, was found to preempt state law, thus limiting patients’ ability to recover reimbursement for wrongfully denied services. This ruling made it more difficult for patients to sue health insurers for adverse harms that result from wrongful denials of treatment.
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