(Bloomberg) — Senior Republican senators said Sunday that Congress would extend Obamacare health insurance subsidies for a "transitional period" should the Supreme Court rule that they aren't allowed in at least 34 states.

Meanwhile, Republicans would design an alternative policy for those states that would provide "the freedom and flexibility to create better, more competitive health insurance markets offering more options and different choices," the senators wrote in a Washington Post op-ed.

The Supreme Court will hear arguments Wednesday in a case challenging whether subsidies that help an estimated 7.5 million people pay for health insurance are legal nationwide. A decision is expected in June.

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