Syndicated columnist Charles Krauthammer made a dire prediction. Appearing on Fox News Sunday, Krauthammer said that all the exemptions the President has given to ObamaCare will ruin insurance companies thereby necessitating the White House to ask for a huge government bailout of these companies next year that Republicans in Congress should prevent.
But it seems far likelier that the overwhelming majority of ObamaCare enrollees are for Medicaid. The early numbers show upwards of 80 percent of applicants are qualifying for such assistance. As a result, the burden will initially be on the federal government, but will be transferred to the states with the passage of time.
Contrary to what the liberal media have claimed concerning this issue, that’s why so many of the states opted not to take federal funds for Medicaid expansion under ObamaCare because they knew that assistance was temporary and that they’d eventually be responsible for financing healthcare for these added recipients.
As such, the additional cost to insurance companies though large may not be so burdensome that they need a bailout to survive. What seems more likely is that they’ll just raise premiums on all of their policyholders thereby completely destroying the whole premise of ObamaCare. Whatever the case, it seems almost a metaphysical certitude that the train wreck called the Affordable Care Act will continue to worsen after the New Year, and there’s nothing the President can do about it. Stay tuned.
More than anything, this revelation demonstrates the innate failures built into the Affordable Care Act. The weakening of Obamacare continues…