Posted on 06/14/2018 4:08:13 PM PDT by buckalfa
A federal appellate court ruled health insurers are not owed billions of dollars in funding under the ACA's risk corridors program, according to Law360.
Here are five things to know:
1. In two cases brought by insurers Moda Health Plan and Land of Lincoln Mutual Health, the federal appellate court decided Congress could legally withhold risk corridors funds from the two health plans.
2. The temporary risk corridors program was designed to level the financial playing field for payers during the first three years of the ACA's implementation, 2014-16. Under the program, the government collected payments from insurers with lower than expected claims on the health insurance exchanges and made payments to insurers with higher than expected claims.
3. The court determined the federal government is not required to make the payments because Congress took action to require the program be budget neutral, though this action came after the ACA's passage. The risk corridors program only paid 12.6 percent of payments it owed to health insurers in 2014.
4. In their lawsuits, Moda Health Plan and now-shuttered Land of Lincoln Mutual Health seek hundreds of millions of dollars in risk corridors payments, according to Politco. The federal appellate court's decisions may set a precedent for the at least three dozen other insurers that have filed similar cases against the government.
5. Collectively, the insurers are owed more than $12 billion in unpaid risk corridors payments. Many insurers have argued rising premiums and insurer exits from the ACA marketplace are in part a result of the end of risk corridors payments.
I am sure the decision will be appealed to the SC and more pressure will be brought against the GOP to come up with a workable alternative to the Affordable Care Act.
There goes Obama Care - if the insurance companies are gonna take it in the shorts its done, no one will write the coverage if they are guaranteed losses.
It’s a pity they didn’t recognize that the Congress has no delegated power to appropriate money for this instead.
I don’t know what this means but I hope the insurance companies who supported Obamacare get royally jobbed.
What exactly did they think would happen?
Shoulda listened to PJ, ‘If you think health care is expensive now, wait until you see what it costs when it’s free.’
I cannot afford much more in “premiums”.
See Fleming v Nestor.
Congress didn’t promise them s***.
L
Excellent! These insurers made a deal with the Devil, who promised them riches and all their heart’s desires. They deserve to burn in Hell.
Tell them to sue Obama personally.
Surely RINO Ryan can pull his team together to save Obamacare. .
I guess it was not a good plan for the insurance industry to push for Obama care. All they saw was mandatory insurance. They thought they would clean up.
The ACA has met its Death Panel.
The other thing Obamacare grubers don’t seem to understand is that “coverage” doesn’t mean access. Oops.
Um, keep dreaming. Those arent the big fish who are raking in billions. Its just the usual corprate welfare putting everyone else out of business while raising consumer costs.
But Hillary was supposed to take care of this under the table after she won the rigged election.
Former president Hopenchange promised......
If you like your risk corridor program you can keep your corridor program...
The plan was to crash and bankrupt private healthcare. In the chaos would have come single payer. It was all planned out like this. They never thought they would not have Congress and the WH today. Helluva gamble.
The insurance companies took the bait. It was genius. In an evil way.
The ACA has met its Death Panel.
Signed,
Gov. Sarah Palin
The US government is not required to provide health care insurance to everyone. Obamacare tried to mandate such insurance, and the Dems tried to spin it as health care.
They thought it would go the way of all Europe.
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