There is a bill circulating in the House of Representatives that needs your support. Ealier this month, Congressman Tim Griffin (R-AR) introduced H.R. 3541, the House companion bill to Senator Marco Rubio’s S. 1726, the Obamacare Taxpayer Bailout Prevention Act. Like S. 1726, H.R. 3541 would repeal Obamacare’s risk corridor provision.
“There is a bill now circulating in the House. It needs your support,” Glenn said on radio this morning. “It is to stop before they even start talking about it – you cannot bail Obamacare out. There is no bailout for this.”
Sen. Rubio explained the bailout provision buried in the Affordable Care Act in an op-ed for the Wall Street Journal:
Buried deep in the Department of Health and Human Services’ press release that accompanied the president’s Nov. 14 speech [announcing his unilateral action to “fix” his broken promise that Americans could keep their existing plans] was this sentence: “Though this transitional policy was not anticipated by health insurance issuers when setting rates for 2014, the risk corridor program should help ameliorate unanticipated changes in premium revenue. We intend to explore ways to modify the risk corridor program final rules to provide additional assistance.”
Risk corridors are generally used to mitigate an insurer’s pricing risk. Under ObamaCare, risk corridors were established for the law’s first three years as a safety-net for insurers who experience financial losses. While risk corridors can protect taxpayers when they are budget-neutral, ObamaCare’s risk corridors are designed in such an open-ended manner that the president’s action now exposes taxpayers to a bailout of the health-insurance industry if and when the law fails.
Read H.R. 3541 HERE.
Front page image courtesy of the AP