GOP seizes on collapse of Obamacare co-ops – Politico

kynect

In Kentucky governor’s race, the president’s health plan takes center stage.

The sudden collapse of nonprofit health plans supported by tens of millions of dollars in Obamacare loans is igniting a new political wildfire over the health law — and it’s playing out in a tight gubernatorial race in Kentucky.

The recent demise of Kentucky Health Cooperative, a nonprofit startup seeded with federal loan dollars under the Affordable Care Act, is part of a bigger, national trend. More than a third of the 23 nonprofit health plans created under Obamacare with $2.4 billion in federal loan dollars have collapsed, and most experts predict more failures on the horizon. Late last week, South Carolina’s co-op became the ninth to fail, following similar crashes in Iowa, Louisiana, Nebraska and New York.
Story Continued Below

But Kentucky is in the spotlight because the co-op went bust earlier this month amid a high-stakes political contest and it is quickly becoming a wildcard issue. The Kentucky plan dominated exchange enrollment during the first two years of operations, capturing roughly 60 percent of customers in a red state hailed as a symbol of Obamacare’s potential. Those Kentuckians will now have to scramble to find new coverage during the looming open-enrollment period, beginning Nov. 1, just as voters head to the polls to pick a new governor.

Read more here.

Share

Comments

comments

')