ObamaCare’s risk corridors were a lot more risky than what the federal government let insurance providers believe. In order to accomplish the goal of increasing the number of Americans covered with health insurance, the federal government created risk corridors, assuring insurance companies that they could sign up people usually too old, sick or poor for the level of insurance they were buying. ObamaCare would reimburse those losses, the government promised. Last year, insurance companies asked to be reimbursed for $2.9 billion. On Thursday, the Department of Health and Human Services said it would only pay out $362 million. Oops. Who will pay the ultimate price? It’s not the government, and nor will it be the insurance companies. CEO of America’s Health Insurance Plans Marilyn Tavenner said, “Stable, affordable coverage for consumers depends on adequate funding of the risk corridor program. It’s essential that Congress and CMS act to ensure the program works as designed and consumers are protected.” Add this to the list of problems that both sides of the aisle want to fix with Obama’s signature legislation. Better yet, scrap it and start over.
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