Obamacare co-ops awash in red ink – that’s your money by the way😳

I would like you to first read this article from Quinnscommentary:  Will not-for-profit plans save money? 

Then read the following from the New York Times.

You see, back a few years ago the Obama Administration was touting increasing the competition among insurers as the answer to controlling health insurance premiums. To that end they pushed non-profit, consumer-run co-op plans and in the process ignored the experience decades ago of non-profit, government-funded HMOs. They also spent $2.4 billion of your money.

Keep in mind the problem is not and never has been lack of competition among insurers, but there is no sense telling that to the “experts” isolated from reality. 

APNewsBreak: Gov’t Finds Health Law Co-ops Awash in Red Ink

WASHINGTON — Democrats fed up with the health insurance industry used President Barack Obama’s overhaul to create nonprofit co-ops that would compete against entrenched corporations. Taxpayers put up $2.4 billion in loans to get the co-ops going.

But a government audit out Thursday finds that co-ops are awash in red ink and many have fallen short of sign-up goals.

The inspector general of the Health and Human Services Department finds that only one out of 23 co-ops — the one in Maine — made money last year.

The IG also says that more than half the co-ops — 13 out of 23 — lag far behind their 2014 enrollment projections. A copy of the audit was provided to The Associated Press.

The IG is concerned that federal loans may not be repaid.