From: The Honorable Leonard Lance
Sent By: email@example.com
Join The Conservative Chorus: Congress Must Not Bail Out Obamacare Insurers
I wanted to bring to your attention a recent letter sent by Heritage Action, Americans for Tax Reform (ATR) and other conservative grassroots groups in support of stopping the bailout of Obamacare insurers under the health care law’s “risk corridor” program.
You can make your voice heard on this issue by joining me in sending the following letter to House Speaker Paul Ryan and Senate Majority Leader Mitch McConnell requesting that any year-end spending bill require that the ObamaCare risk corridor program remain budget neutral.
This effort “is dealing heavy blow to ObamaCare” and we need to ensure that any measure we consider upholds this accomplishment.
If you have any questions or would like more information, please contact Molly McDonnell at 55361 or Molly.McDonnell@mail.house.gov.
Dear Speaker Ryan and Majority Leader McConnell:
We are writing to respectfully request that you include language in a year-end spending bill requiring that the Affordable Care Act’s “risk corridors” remain budget neutral for fiscal year 2016.
As you know, current law prohibits using taxpayer funds to cover losses that insurers incur as a result of Obamacare. This policy was adopted by Congress and signed into law by President Obama as part of fiscal year 2015 year-end spending measure. Under that provision, the Department of Health and Human Services (HHS) can no longer tap other accounts — like its overall appropriations or its Medicare funding — to fund the risk corridors program. We believe Congress should once again adopt this common sense policy to ensure that tax funds are not spent bailing out giant insurers.
The risk corridor program was intended to ease insurers’ transition to Obamacare by allowing insurance companies and the federal government to share higher-than-expected costs. This has worked well in programs such as Medicare Part D where insurer gains more than offset losses. However, given the instability of the insurance market under Obamacare, CMS recently announced that risk corridor payments are only expected to cover a small fraction of what insurance companies have requested, leaving taxpayers on the hook to cover the rest of the costs.
As we work to enact responsible spending legislation for fiscal year 2016, we ask that you include this important provision to ensure budget neutrality and fiscal responsibility in the risk corridor program. We look forward to working with you on this important matter.