Obamacare: Obama Administration Hiding List Of 11 Failing Affordable Care Act Insurers

Oct 19, 2015

  1. Justin Bilyj
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    Obamacare: Obama Administration Hiding List Of 11 Failing Affordable Care Act Insurers : News : Headlines & Global News

    Bastards raised my deductible from 2500 to 3000 and increased my premium from 125 to 141 a month (I know its low compared to what some of you family guys are paying). That is an increase in 30% if you factor the original premium value of the deductible (1/5 of 125+16 in premium increase=41).

    Anyways, had to blow some steam. Found this article, and thought it was interesting and predictable.

    he co-ops in Colorado, Oregon and Tennessee announced last week that they are shutting down, and in the previous week, Kentucky's co-op also said that it would close, leaving just 15 of the original 23 co-ops in business next year

    Many of the failing co-ops have said they are experiencing financial trouble due to low payouts from the Affordable Care Act's risk corridors program. The risk corridors program was designed to protect insurers from heavy losses by redistributing money from insurers that were doing well, but the Obama administration announced on Oct. 1 that the program only had enough money to pay out 12.6 percent of the $2.87 billion requested by insurers.
     
  2. AllenChicago
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    My guess is that some of the 11 Co-ops referenced in the article have already gone under, because all 11 were put on the critical list back in early September.

    If you're an agent in one of the states with a Co-op close the brink of melt-down, that's on the Federal's "get your act together" list, the signs are there. For instance, over the past week, our Land of Lincoln Health Co-op (Illinois) has:

    1. Cancelled all GA contracts.
    2. Stopped accepting new broker appointments.
    3. Began focusing on In-State Navigators for customer gathering.
    4. Stopped sales of Small Group through the remainder of 2015.
    5. Enacted internal measures that only LOLH employees know about.
    ac

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    It just occurred to me, after talking to a client, that the Co-Ops in the most financial trouble should be public knowledge. The people with the greatest need for on-going medical care would shy away from them, which is what the troubled Co-Ops want, and need.

    A client named Pete, who has $90,000 infusion therapy every year just told me that he wants to get far away from Land of Lincoln health. I'm sure LOLH would love for him to go.
     
  3. RayNY
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    Don't be silly.

    They're just "consumer owned and oriented plans", why would they ever reveal their financial position to consumers? It's not like they were started using our tax dollars or anything...
     
    RayNY, Oct 22, 2015
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  4. pplhelper
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    pplhelper New Member

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    Where do these people go now? Will the state now have to go Obamacare?
    I just heard this morning Coventry was pulling from some states as well...
    Has anyone heard anything on this?
     
  5. AllenChicago
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    Yes.. Coventry's last minute decision was announced late last night. I'll put the info in the 2016 thread.
     
  6. HealthRisk
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    The data is out there. They are still required to file with the state regulators and file NAIC statements if they are insurance carriers. Getting that data is a little tedious for the average consumer though.

    It is that data I started looking at earlier this year and saw the writing on the wall for a number of these "plans". This is also the same method AM Best and S&P did when they issued articles earlier this year.
     
  7. Ron Van D
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  8. RayNY
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    If you ask me, "Public" means "anyone who asks, or has google, can find it easily".

    What's the address of the White House? Results of the 2012 Election. That's public information.

    To get the financials of a co-op, you have to navigate the difficult insurance department website to find the filing, and then comb through hundreds of pages to find finance data, and then sit there and do the math yourself to find where they stand.

    Even then, it's just Paid Claims vs. Total Billed Premium. No idea about reserves, loan payments due, reinsurance expected, etc.
     
    RayNY, Oct 22, 2015
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  9. HealthRisk
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    I agree, it isn't easily attainable. Reading a statutory statement also isn't a cake walk. It was when I read them and saw the risk corridor amounts due, on a projected basis, booked as realized assets for capital I knew things would blow up. It was Enron style accounting.
     
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