Can you believe that this illegal bail out was just discovered? Why? You have to read the law to find out what is in it? Did the insurance companies complain? Of course they did not complain while receiving free money. Who is responsible? No one in the Federal government is responsible for anything under the present administration. Details of the scam are in this article.
by Betsy McCaughey at Right Wing News:
Obama Administration Breaks Law to Enrich Health Insurers.
The Obama administration will tell any lie and break any law to prevent the president’s signature health program from collapsing. Insurance companies, such as UnitedHealthcare and Aetna, are losing billions trying to sell Obamacare plans, and the risk is they’ll drop out at the end of 2016. No insurance companies means no Obamacare. In 2014, the White House tried to avert that disaster by promising insurers a bailout funded with taxpayer dollars, but public outrage and quick action by Senator Marco Rubio put a stop to it. Now the administration is at it again.
Desperate to keep insurers on board, the administration scrambled to find another source of money. Unfortunately, a big part of that money pot belongs to the public. Disregarding that fact, the administration announced on Feb. 12 that the money will be handed out to insurers — a whopping $7.7 billion this year alone. That huge handout to the insurance industry violates the law.
This is money you and everyone else who already has insurance is forced to pay, called a reinsurance fee. You pay the fee whether you buy your own plan or get covered at work, even if your employer self-insures. You may be clueless about it, but the fee is buried in your premium or taken out of your compensation.
The language of section 1341 of the Affordable Care Act, which details what this money can be used for, is clear as a bell. Some of these annual fees — adding up to billions a year — belong to the public, not the insurance companies. The law states a fixed share “shall be deposited into the general fund of the Treasury of the United States and may not be used” to offset insurance companies’ losses. But the administration gave all of it to the insurance companies last year, and got away with that heist. So they’re trying it again.
Anyone in the corporate world who misused funds that way would be headed to prison. This rogue administration is going to any length — including running afoul of the law — to keep insurers hooked into Obamacare.