ObamaCARE is such a major success story that motr than one-third of the state run co-ops set up by liberal governors (including some Republicans like John Kasich) will be closing by the end of 2015.
| 8 or 23 ObamaCARE co-ops closing by end of the year |
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By the end of 2014, 21 of the 23 non-profit health insurance co-ops created under the ACA were losing money. Enrollment was well beneath expectations in 13 of the 23 plans. Less than a year later, one third have closed.
The Wall Street Journal attributed the lack of federal funding to state level non-profit co-ops to the hard work of Congressional Republicans who through budget negotiations, were able to whittle the administration’s $10 billion bailout bid down to about $2.4 billion. Slim federal pickings have left co-ops starved for cash and unable to meet the demands of their enrollees.
Last week, Tennessee, Kentucky, Colorado, and most recently Oregon, announced co-op closures.
As Kristina Ribali pointed out at HotAir, Colorado’s co-op was assuring enrollees they had cash aplenty less than 24 hours before state regulators forced Colorado HealthOP to shutdown due financial insecurity. As a result, 80,000 Coloradans will lose their health insurance plans.
Friday, Health Republic Insurance, one of two co-ops in Oregon announced it too will be closing, making it the eighth to do so.