The Eighth Circuit Court of Appeals issued its long-awaited ruling on a challenge to North Dakota Senate Bill 2231, which prohibited the sale and advertisement of AirMedCare Network (AMCN) memberships in the state.In a concise and well-reasoned opinion, the Eighth Circuit held that the State of North Dakota lacks the authority to regulate AMCN memberships. The Court held that the Airline Deregulation Act (ADA) gives the Federal Government the sole authority to regulate air ambulance memberships and states like North Dakota cannot use their insurance codes to create a loophole in the ADA.
AMCN has always maintained that its membership product is not insurance, and the Court’s ruling today validates this position. AMCN provides a valuable service – canceling any portion of an air ambulance bill that is not covered by insurance for any AMCN member who is transported by an AMCN affiliate. Today’s ruling is a clear win for consumers in North Dakota and elsewhere who would like to take advantage of the benefits of an AMCN membership.