Monday, November 4, 2013

What's In It

Now we find out what’s in it: Obamacare’s taxpayer bailout for health insurers | Conservative Intelligence Briefing: "Over at The Incidental Economist, Adrianna McIntyre explains part of the health care law that many people probably did not know was in it. (I know I didn’t — at least not in detail.) Even if the individual mandate is delayed for a year, she points out, the private insurance market won’t immediately be destroyed by the so-called “adverse selection death spiral” — the crash that occurs when health plans contain too many sick people (net-users of the money in the pool) and not enough net-payers (healthy people).

The short version? Obamacare contains a partial bailout for insurers with losses greater than 3 percent in any of the first three years"