Sunday, November 22, 2015

Will Ryan's House Bail Out Health Insurers?

Betsy McCaughey knows ObozoCare and tells us that the health-insurance megaplayers are hammering Congress for a bailout on their ObozoCare losses.

...At issue is the Affordable Care Act’s so-called “risk corridor” program. Profitable insurers are supposed to pay into a fund every year to help unprofitable insurers. But with nearly all insurers losing money on ObamaCare, there’s not enough money in the pot. Insurers requested $2.9 billion to offset their 2014 losses, and were told they would get only 13 cents on the dollar, because the pot is so empty.

That shortfall pushed several co-ops into bankruptcy, including Health Republic. UnitedHealthcare also said it was a reason for its reluctance to stay in ObamaCare. But too bad for insurers. They’re in business to take risks and either make money or lose it.

The risk-corridor program shouldn’t be used to funnel taxpayer money to insurers. But the administration is trying to weasel around it and get Congress to fill the pot with taxpayer dollars. That’s what makes it a bailout. And crony capitalism.

When Obama tried this last year, Republicans in Congress stopped it. In the coming weeks, count on Obama and congressional Democrats to try slipping insurance-bailout money into the spending bills being rushed through Congress as the year closes.

So will we have "Too Big to Fail" insurers AND banks?  Think Paul Ryan has a spine?

Stay tuned.  It's your children's money.

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