Deep Banerjee, an analyst with Standard & Poor’s Ratings Service, blamed the shut down on insufficient premiums that did not cover members’ health expenses and its own costs of operations.
“They are paying out in claims and expenses a lot more than they are getting in the door,” he told the Wall Street Journal.
Kentucky Health Cooperative, meanwhile, was the second-largest co-op in the country and insured 75% of Kentucky residents who enrolled in coverage. The organization had been awarded $146.5 million in taxpayer loans for its launch, including $65 million in solvency funding as recently as November of last year
"The news comes after a federal audit revealed in August that 22 of the 23 insurance cooperatives established under the ACA are losing money and facing difficulty repaying federal loans. Five of the 23 have now closed their doors, and 11 have received warning letters from the Centers for Medicare and Medicaid Services placing them on “enhanced oversight.”
Liberalism in reality is a really ugly thing...
http://www.ibamag.com/news/healthca...fold-400000-left-without-insurance-25667.aspx
“They are paying out in claims and expenses a lot more than they are getting in the door,” he told the Wall Street Journal.
Kentucky Health Cooperative, meanwhile, was the second-largest co-op in the country and insured 75% of Kentucky residents who enrolled in coverage. The organization had been awarded $146.5 million in taxpayer loans for its launch, including $65 million in solvency funding as recently as November of last year
"The news comes after a federal audit revealed in August that 22 of the 23 insurance cooperatives established under the ACA are losing money and facing difficulty repaying federal loans. Five of the 23 have now closed their doors, and 11 have received warning letters from the Centers for Medicare and Medicaid Services placing them on “enhanced oversight.”
Liberalism in reality is a really ugly thing...
http://www.ibamag.com/news/healthca...fold-400000-left-without-insurance-25667.aspx
