Your ObamaCare Fail of the Day
I've got a double for you this time, but only because I'd missed one story from last week while I was busy with my own health care needs: Having two ingrown big toenails cut down and ablated. The Vicodin was fun. The eucalyptus & spearmint epsom salt soaks were pleasant. The rest was neither fun nor pleasant -- much like what ObamaCare nonprofits and co-ops are enduring.
Another Obamacare co-op, Connecticut’s HealthyCT, is closing its doors, and at least two most could follow suit as the nonprofit insurers decide whether they will be able to remain on firm financial footing.
The nine remaining co-ops of the original 23 co-ops must make payments totaling at least $130 million through Obamacare’s risk adjustment program, which could damage their viability.
You may remember my post from last month about an ObamaCare nonprofit in Maryland which found itself in a similar predicament:
A nonprofit health insurer in Maryland is suing the federal government to avoid more than $22 million in fees under an ObamaCare program that the group calls “dangerously flawed.”
The first-of-its-kind lawsuit targets the Obama administration’s strategy for protecting health insurers from losses in the new marketplace.
In a lawsuit filed Monday, Evergreen Health Cooperative Inc. warned the program could “threaten the viability of the entire Affordable Care Act" if it is not fundamentally altered.
The schadenfreude was deep in that one, because the found of Evergreen Health is a proponent of single payer. What he failed to understand is that under socialized insurance, the payer is whoever has the money -- and the little guy always loses to the big guy with pull in Washington. It's a hard lesson, and one I'm sure Evergreen founder & CEO Peter Beilenson will never learn.
My point here though is that what is happening to the statewide ObamaCare co-ops across the nation is the same thing that happened to Beilenson's little nonprofit. They were making too much money, which under ObamaCare is punishable by being forced to turn your money over to less efficient competitors.