Conservative Coalition to Congress: Stop Obamacare 'Bailouts' • Newsmax
A conservative coalition of more than 50 groups has approached Congress to stop the Obama administration from granting "bailouts" to insurers for their Obamacare losses, the Washington Examiner reported.
According to a letter by Freedom Partners, along with many other groups, sent Wednesday, the coalition requested that Congress should take strong measures against the move.
Among the changes, the groups want members to pass a bill urging the Department of Health and Human Services to recover the $5 billion it has remitted to insurance companies through Obamacare’s reinsurance program.
The groups also want Congress to continue maintaining that the “healthcare law's risk corridor program remain budget neutral,” so the administration does not have to pay out extra.
I also wants a passage of a bill that would disable the administration from using the Judgment Fund or taxpayers money.
According to the reinsurance and risk corridor programs under the Affordable Care Act, insurers that had excess profits paid into a fund operated by the federal government. Those that incurred excess losses received money from the fund.
As many insurers claimed they experienced significant losses during 2014, insurance companies received just 12.6 percent of the payments they expected to receive from the risk corridor program and are now arguing they’re entitled to the remaining money.
While the Obama administration is trying to shift around money to make up for the deficit, Congress has blocked HHS from exhausting its own funds for the risk corridor program.