Why? Because the subsidy is drying up, of course: “Kentucky Health Cooperative, a nonprofit insurer known as a co-op, explained that it could not stay financially afloat after learning of a low payment from an Obamacare program called “risk corridors.”” The short version: the Democrats set up a program where higher-performing insurers would be fined for doing well, and that money would then be given to lower-performing insurers to prop them up. SHOCKINGLY*, this turned out to be unsustainable: this administration apparently can only pay out about one-eighth of the funds that were requested by the aforementioned lower-performing insurers. And since apparently the co-op in Kentucky can’t function without that money, it will be going belly-up. Fifth co-op to do that nationwide, by the way: and most of the rest are in the red, too.
Note: this is the co-op, not the Kentucky state Obamacare exchange itself. “Only” fifty thousand people or so are going to have a miserable two, three months trying to get new insurance… just in time for Christmas! Good job, Barack Obama! Good job, Gov. Steve Beshear! And, hey, good job, Attorney General Jack Conway! – Because since the man is running for Governor and everything, he gets to answer for all the dumb things that Conway’s fellow Democrats have come up with. Like, say, creating a set of ‘businesses’ who pretty obviously couldn’t function without a permanent and steady source of federal funds.
Lastly: I would be remiss in not noting that Matt Bevin is running for Governor in Kentucky on the GOP ticket, and that he’s as tired of this goat rodeo as probably the rest of you are. Galloping disasters that were set up via executive fiat can be handily removed the same way. Just saying, that’s all.
Moe Lane (crosspost)
PS: No Republican voted for Obamacare. Kentucky was able to set up a state exchange because it has a Democratic governor willing to impose one via Executive Order. Its ‘success’ in signing people up is mostly due to Medicaid expansion**, which is why hospitals in Kentucky are glumly watching their losses pile up.
PPS: Via Hot Air comes the word that Tennessee’s Obamacare co-op is going belly-up, too. I suspect that it will not be the last one to do so, either. Call it… a hunch.
*This should not be shocking.
**Which is to say, they don’t actually get people viable health insurance. They instead put people on Medicaid, which has distinctly substandard networks and reimbursement rates; and then the Democrats pat themselves on the back and go create another twenty ‘green’ energy companies, all primed and ready for happy-shiny government subsidies and a place for cronies on the companies’ Board of Directors. Welcome to Dizzy City: here’s your accordion.