WSJ: Obama Administration Works to Fix Health Insurance Co-Ops

By Stephanie Armour
The Wall Street Journal
January 21, 2016

 

…The agency will hold a March meeting with co-op leaders and others involved regarding a formula that spreads out risk among insurers. That program, known as risk-adjustment, distributes money from plans with healthier and younger enrollees to plans with sicker and older customers.

 

Co-op officials said the formula used to determine payments left them and smaller insurers at a financial disadvantage compared with larger insurers, and they have been pressing the Obama administration to make revisions they say are necessary to ensuring their survival going forward.

 

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