More ObamaCare Woes: Congress must act to block health insurance bailout
By: Marco Rubio
August 8, 2014
As evidence mounts of a looming taxpayer-funded bailout of health insurance companies under ObamaCare, the urgency grows for Congress to take this possibility off the table for good.
As expected, ObamaCare’s costs are rising, and health insurers are passing them along to patients in the form of higher premiums and deductibles.
Just this week, a majority of insurers offering health plans in Florida announced rate increases ranging from 11 to 23 percent. This means that if patients balk at paying this sharp increase and drop their coverage, these health insurers will have to make up the difference somehow.
Enter section 1342 of the ObamaCare law, which established so-called “risk corridors”.
According to this provision, taxpayers will make up the difference for health insurance companies whose plans lose money under ObamaCare. Last November, as it became clearer what this section of the law actually meant, I introduced legislation repealing it and protecting taxpayers from being forced to cover insurers’ ObamaCare losses.