Krauthammer: Just watch, insurance companies ruined by ObamaCare will come knocking for a bailout
posted at 5:01 pm on December 22, 2013 by Erika Johnsen
We’ve known about that ignominious little “risk corridor” provision tucked safely away in ObamaCare somewhere for awhile now, and last week, the Obama administration pulled the individual-mandate-compromising move that makes it all the more likely that such a bailout eventuality will come to pass. A few lawmakers have already started sounding the alarm on the possibility, but as all of these last-minute, last-ditch, desperately unilateral changes to crucial policy elements of the law start to add up, they might want to consider really shaking a leg on the issue when they come back from Christmas break.
I can practically hear the speeches already: “Thanks to the work of my administration, the insurance industry has come roaring back!”
The reason the insurers are apoplectic about what just happened is because he has now told a whole class of people, “You don’t have to be in the exchanges.” And these are people that are probably the healthier and the younger ones who are going to be outside of the exchanges. Which means that the cost to insurers of people left in the exchanges is going to be exorbitant. … The insurers understand that they are going to be ruined. And what’s going to happen as a result of this? There’s only one way out: a huge government bailout of the insurers waiting at the end of next year, and that’s an issue that Republicans ought to focus on right now. It’s the only way that ObamaCare’ll survive, and it ought to be stopped before it happens.