The government keeps losing with ACA failed co-ops: 5 observations about the $1.2B loss

The Affordable Care Act’s failed co-ops took a lot and gave little, costing the government $1.2 billion, based on a new Senate investigations panel report, according to The Washington Post.

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Here are five observations:

1. The report notes the Department of Health and Human Services overlooked early problems associated with the nonprofit health insurance plans and intervened too late.

2. Even though HHS knew about the co-ops’ enrollment misconceptions in early 2014, the department did not alter any plans.

3. The failed co-ops won’t be able to pay off most of the loans to the government, as they still owe money to physicians and hospitals.

4. Fourteen states experienced co-op closures in 2015, leaving about 700,000 Americans without coverage.

5. CMS is currently working with the Justice Department to recover the federal loans.

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