Court strikes down ACA broker freeze, clearing path for open enrollment

A Maryland federal court has blocked the CMS's moratorium on new ACA broker registrations, handing a major win to insurance agents and the consumers they serve. The Trump administration had imposed the freeze in September to combat fraud and unauthorized enrollments on Healthcare.gov — but two broker trade groups, NABIP and HAFA, sued last month, arguing the move was both procedurally flawed and financially devastating.

The court sided with both groups, finding that the CMS violated the Administrative Procedure Act by skipping the public comment process, and that brokers would suffer irreparable financial harm without relief. The ruling came just as the current open enrollment season began, and the injunction required training for new agents to be made available by end of day Friday.

Key Takeaways:

• Nearly 19,000 agents and brokers had been blocked from registering under the moratorium
• The court found the freeze violated the Administrative Procedure Act due to the absence of a public comment period
• Open enrollment runs through mid-January — new brokers can now participate
• HAFA warned the broader fight over CMS regulatory authority is "far from over"

Why it matters: The ruling ensures consumers have access to licensed brokers during a critical enrollment window, while drawing a clear line around how far federal agencies can go in combating fraud without following proper regulatory procedures.