The United States Supreme Court overcame a legal obstacle on Thursday, that could have demolished President Barack Obama’s healthcare law.
The ruling by the court equates to the preservation of the law “Obamacare” which will provide health insurance for millions of Americans.
Obama considers the step a major part of his presidential legacy.
With a 6-3 decision, the tax subsidies that make health insurance affordable for those with low-income will be able to continue.
Following the ruling, Obama spoke at the White House Rose Garden and declared that Obamacare is working, and will continue to help the millions of Americans who are unable to afford health insurance.
President Obama ensured that the Affordable Healthcare Act is “here to stay.”
"We've got more work to do, but what we're not going to do is unravel what has now been woven into the fabric of America," said Obama.
Republicans have vowed to continue opposing the law.
Private companies provide health insurance in the US, instead of the government, as the country does not have a single-payer healthcare system.
Obama’s installment of the Affordable Care Act (ACA) in 2010, mandated that every American citizen had to possess private insurance and provided the subsidies for that purpose.
In 2012, the mandate section of the law was in question, however, justices gave a ruling to preserve it, as they did for the second time on Thursday.
Chief Justice John Roberts who handled the case wrote, "Congress passed the Affordable Care act to improve health insurance markets, not to destroy them."
The ruling saved an estimated 8.7 million US citizens from losing the support that makes healthcare affordable to them. Most Americans do not have the financial means to afford private health insurance.
The ruling means the current system will remain in place, and nationwide subsidies will be available.
Meanwhile, demonstrators gathered outside the court on Thursday morning. They were ecstatic to find that the court ruled in their favour, some danced while others chanted "If you're covered and you know it clap your hands."
"This is a big sigh of relief for millions across the country," said Ron Pollack of Families USA.
In the meantime, conservatives have called Obamacare "socialised medicine."
Opponents have often created obstacles to hinder the regulation and provided many legal challenges, but were unsuccessful each time.
"The subsidies upheld today help patients afford health insurance so they can see a doctor when they need one and not have to wait until a small health problem becomes a crisis," said Dr Steven Stack, president of the American Medical Association.
"It has changed, and in some cases saved, American lives," Obama said regarding the law.
16.4 million people who were previously uninsured are now entitled to health insurance after the law was implicated, according to the US government
"This is not about the Affordable Care Act as legislation, or Obamacare as a political football. This is healthcare in America," Obama said.
The Obamacare ruling is considered a great step by the Obama administration, prior to his deadline in office in January 2017.
Hospitals and investors in the US were simultaneously relieved, as the number of paying customers created by Obamacare will not diminish.