Insurance company bailout built into Obamacare

As it becomes more and more obvious that insurance companies are going to take a bath as a result of the skewed pool of healthy enrollees vs. sick ones, there has been talk of bailing out the insurance companies in order to keep them from abandoning the unprofitable exchanges. We needn't worry. The bailout is in the law itself - and President Obama has apparently forgotten to mention this fact to the American people. Weekly Standard: Obamacare contains a "Reinsurance Program that caps big claim costs for insurers (individual plans only)."  He writes that "in 2014, 80% of individual costs between $45,000 and $250,000 are paid by the government [read: by taxpayers], for example."  In other words, insurance purchased through Obamacare's government-run exchanges isn't even full-fledged private insurance; rather, it's a sort of private-public hybrid.  Private insurance companies pay for costs below $45,000, then taxpayers generously pick up the tab-a tab that...(Read Full Post)

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