Community Health Options’ members nearly doubled from last year to this year: from 40,000 to about 76,000. It wants schools, public safety officials, transportation agencies and anyone else you can think of on board as well, recognizing that there are lots of factors that contribute to the nation’s high health care costs.
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The announcement casts further doubt on the future of insurance cooperatives, small nonprofit insurers that were created during the ACA’s creation to inject competition in insurance markets. And the Maine Bureau of Insurance, which approved the temporary freeze on new individual members, says the co-op “continues to meet all of its obligations in the normal course of business”. As the Kaiser Family Foundation study points out, almost half of them could purchase a “bronze” insurance policy – the most basic of coverage – for less than the penalty they would owe. If someone chooses not to buy health insurance and could afford to do so, they are at risk of paying a fee of $695 or more. UnitedHealth Group Inc. recently reported deep losses from its exchange business and said it would decide next year whether to even remain in the exchanges in 2017. Rubio said he “saved taxpayers $2.5 billion”, according to The New York Times because his measure prevented money being used from other sources for the risk corridor payments.
More than 11 million Americans, including 219,000 Hoosiers, had obtained insurance after the first two years of enrollment.
But as health care costs rise, businesses in recent years have been shifting more costs to employees in the form of higher deductibles, copayments and premiums, all at a time when wages have been stagnant.
“We are now seeing a surge of interest, as we get closer to the deadline”, said Andy Slavitt, acting administrator of the federal Centers for Medicare and Medicaid Services.
Banerjee, the Standard & Poor’s analyst, said he expects more co-ops to struggle heading into 2016, but it’s hard to say how many will survive or fail.
Open enrollment began in November and ends January 31.
The administration reassures insurers it will find other funding sources to back its commitment to companies losing money in the exchanges, but a new report by Standard & Poor’s says the money doesn’t exist.
But federal health officials and Obamacare advocates have repeatedly urged all current customers to actively shop for plans on the exchanges.
Stay on topic – This helps keep the thread focused on the discussion at hand. If you are in that scenario, you should really work with a licensed and certified agent who can discuss the pluses and minuses of the new plans.
Share with Us – We’d love to hear eyewitness accounts, the history behind an article, and smart, constructive criticism. If the amount insurers need surpasses the total that profitable companies have paid in, the federal government makes up the difference.
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