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The Next Obamacare Scandal: A Taxpayer-Funded Bailout Of Insurers

Tyler Durden's picture




 

The teleprompter is still hot from all the Obama spit unleashed in his latest sincerely passionate denial that his administration knew anything, anything at all, about what is merely the latest scandal to rock the president, this time surrounding the Veterans Affairs fiasco, and already a brand new scandal is taking shape, this one Obama however will not be able to sweep as easily under the rug. The LA Times reports that the "Obama administration has quietly adjusted key provisions of its signature healthcare law to potentially make billions of additional taxpayer dollars available to the insurance industry if companies providing coverage through the Affordable Care Act lose money." In other words, yet another taxpayer funded bailout.

More on this stunner from LA Times:

The move was buried in hundreds of pages of new regulations issued late last week. It comes as part of an intensive administration effort to hold down premium increases for next year, a top priority for the White House as the rates will be announced ahead of this fall's congressional elections.

 

Administration officials for months have denied charges by opponents that they plan a "bailout" for insurance companies providing coverage under the healthcare law.

 

They continue to argue that most insurers shouldn't need to substantially increase premiums because safeguards in the healthcare law will protect them over the next several years.

 

But the change in regulations essentially provides insurers with another backup: If they keep rate increases modest over the next couple of years but lose money, the administration will tap federal funds as needed to cover shortfalls.

 

Although little noticed so far, the plan was already beginning to fuel a new round of attacks Tuesday from the healthcare law's critics.

Perhaps the reason why it took so long for the "critics" to get to the fine print is because there are already burried and preoccupied digesting all the other scandals rocking Obama which, under any other administration, would have resulted in the objective media screaming for mass terminations, if not the scalp of the president himself.

Yet somehow, with a daily orchestrated wink and a smile, so far Obama has been able to writhe his way out unscathed from virtually everything.

We doubt this time will be any different, especially if and when the latest round of executive orders come flying:

Although more than 8 million people signed up for health coverage under the law, exceeding expectations, insurance companies in several states have been eyeing significant rate increases for next year amid concerns that their new customers are older and sicker than anticipated.

 

Insurers around the country have started to file proposed 2015 premiums, just as the midterm campaigns are heating up. Obamacare, as the law is often called, remains a top campaign issue, and big premium increases in states with tightly contested races could prove politically disastrous for Democrats.

 

If rates go up dramatically, consumers may also turn away from insurance marketplaces in some states, leading to their collapse.

 

Proposed increases in a few states where insurers have already filed 2015 rates have been relatively low, with several major carriers seeking just single-digit hikes. But insurers in closely watched states, such as Florida, Pennsylvania, North Carolina and Arkansas, are still preparing their filings.

 

"It's absolutely paramount to keep premiums in check," said Len Nichols, a health economist at George Mason University who has advised officials working on the law.

How could this possibly happen: simple - socialized central-planning is always, without fail a precursor to failure:

To stabilize this new system, the law set up a complex system of funds, including one known as the Temporary Risk Corridors Program, that collect money from insurers and transfer it from companies with healthier, less expensive consumers to those with sicker, more costly consumers.

 

This system was supposed to pay for itself, as does a similar one used to shift money between drug plans in the Medicare Part D program.

 

But insurance industry officials have grown increasingly anxious about the new system's adequacy.

So who will foot the bill for insurers' shortfalls?

Pressure is most acute on insurers in states where healthy consumers were allowed to remain in old plans that are not sold on the new online marketplaces, an option Obama offered to states amid a political firestorm over plan cancellations last year. The president had promised people would be able to stick with their plans.

 

The renewal temporarily solved a political problem for the White House, but created a new one. Maintaining these old plans kept many healthy consumers out of the marketplaces, making the pool of new customers less healthy and therefore potentially more expensive for insurers, according to experts.

 

In a series of White House meetings over the last several months, Obama and other senior administration officials have sought to persuade insurance company CEOs to nonetheless hold rates in check, arguing that the marketplaces would stabilize over time. But with proposed 2015 rates beginning to come in, the administration acceded to industry demands for a clear guarantee that more money would be available to cover potential losses.

 

"In the unlikely event of a shortfall for the 2015 program year, HHS recognizes that the Affordable Care Act requires the secretary to make full payments to issuers," the regulation published Friday notes. "In that event, HHS will use other sources of funding for the risk corridor payments, subject to the availability of appropriations."

 

That language allows the administration to tap funds appropriated for other health programs to supplement payments to insurers, according to administration and industry officials.

 

Among congressional Republicans, the decision has raised concerns. "If the program costs more than it brings in, the secretary would be able to divert money intended for other programs," Republicans on the Senate Budget Committee warned.

In other words, "you" dear US taxpayer. And because once you start the bailouts you don't stop, and since this is merely the first manifestation of what happens to the economy when the true impact of the past 6 years of Obama's "executive order"-based rule emerge, prepare for many more bailouts.

The good news of course is that it will be up to you again, dear taxpayers, to pay for the physician bills of the drivers of "rolling sarcophagi" made by that other bailed out corporation, GM, whose record 30 recalls so far this year would never have become public knowledge had it not been exposed that its menegement, which was part of both the new and old GM, been actively covering up the shoddy quality of its products and the deaths of its customers, just so the company that only exists thanks to the sunk costs of even more taxpayers wouldn't incur a few extra repair costs.

And what can be nobler than paying for the healthcare of your fellow human being?

 

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Wed, 05/21/2014 - 12:17 | 4781621 Chupacabra-322
Chupacabra-322's picture

Shit! For once I was out in front of Tyler on this one. I posted the following off topic on the Bernanke thread:

Off topic but interested Tyler hasn't picked up this interesting piece up on Drudge.

The Obama administration has quietly adjusted key provisions of its signature healthcare law to potentially make billions of additional taxpayer dollars available to the insurance industry if companies providing coverage through the Affordable Care Act lose money.

The move was buried in hundreds of pages of new regulations issued late last week. It comes as part of an intensive administration effort to hold down premium increases for next year, a top priority for the White House as the rates will be announced ahead of this fall's congressional elections.

http://www.latimes.com/nation/...

Wed, 05/21/2014 - 12:19 | 4781636 Haus-Targaryen
Haus-Targaryen's picture

How many more years before US depositors get Cyprused.  I give it 3.

Wed, 05/21/2014 - 12:22 | 4781649 alphamentalist
alphamentalist's picture

regrettably, if you you don't like your DingleBarry you can keep your DingleBarry.

Wed, 05/21/2014 - 12:28 | 4781693 MillionDollarBogus_
MillionDollarBogus_'s picture

"Off topic but interested Tyler hasn't picked up this interesting piece up on Drudge."

That is interesting based on the fact that Drudge and ZH seem to be merging their content...

Wed, 05/21/2014 - 12:34 | 4781713 MarsInScorpio
MarsInScorpio's picture

Just sent to Noam N. Levey, bylined author of the LA Times story:

 

Your quote: “Although more than 8 million people signed up for health coverage under the law, exceeding expectations”

 

My understanding of that number is that it does NOT represent those who’ve paid up for their coverage, but rather anyone who put anything into a shopping cart – whether they paid for it or not.

 

Which means the real number of people who have signed up and will receive coverage is about 3-million.

 

Why do you repeat the propaganda spin from Obama rather than tell the truth?

-30- 

 

Wed, 05/21/2014 - 12:40 | 4781734 max2205
max2205's picture

This country smells like shit

Wed, 05/21/2014 - 12:45 | 4781749 Haus-Targaryen
Haus-Targaryen's picture

When the Equity/Housing/Debt bubble we are in right now explodes, someone explain to me why I should keep paying on my student loan debt, when default rates will be 30%+ and there simply won't be the manpower out there to collect on it all?

Wed, 05/21/2014 - 13:05 | 4781847 Renewable Life
Renewable Life's picture

Don't!!

The banks that loaned the money to you will be stealing it back from "depositors" anyway, the government will be shocked and "on the job" saving the American people from themselves, your right, there will be absolutely NO incentive other then your own honor, that will keep you paying!!

Welcome to the New World kid!

Wed, 05/21/2014 - 13:11 | 4781873 Haus-Targaryen
Haus-Targaryen's picture

See, I have my honor.  I don't ride the S-Bahn without paying for a ticket.  Why?  Because my personal honor is definitely worth more than the 2,15€ it costs.  I probably would return a few thousands bucks I found in the Subway too. 

*However* every man has a price, and my price just happens to be 6 figures in size. 

Wed, 05/21/2014 - 13:21 | 4781894 eatthebanksters
eatthebanksters's picture

He will singlehandedly destroy our middle class, destroy our military and turn us into subjects of a socialist oligarch led utopia (for the oligarch's and their friends).  Wow, Atlas is shrugging right now...time to look for that valley in Colorado (or elsewhere).

Wed, 05/21/2014 - 14:02 | 4782026 wee-weed up
wee-weed up's picture

Change "He will" to "He has" and you'll have it right.

Wed, 05/21/2014 - 14:27 | 4782107 marchare
marchare's picture

galt.io

Wed, 05/21/2014 - 16:00 | 4782362 Lost My Shorts
Lost My Shorts's picture

Oh, come on, have some sympathy.  Poor Barry is squeezed between a rock and a hard place and another rock:

1) People don't want to pay high premiums

2) Insurance compaines want big profits

3) Everyone screams when high-priced hospitals and doctors go "out of network" (i.e. everyone screams when the market works in health care)

The only escape from the squeeze is taxpayer money (or telling millions of Americans to just go die, you can't have care -- no wait, that is a death panel !!! can't do that, so taxpayer money it is).

Wed, 05/21/2014 - 16:32 | 4782510 Cathartes Aura
Cathartes Aura's picture

you really believe Obama "singlehandedly destroyed our middle class" and "our military"?

wow.   moar powerful than Putin even.

((and who is voting to be included in that "our" nowadays??))

Thu, 05/22/2014 - 05:47 | 4784048 Disenchanted
Disenchanted's picture

Yeah really...Everything was just peachy keen until Oblahma came along.

LOL!

Wed, 05/21/2014 - 14:12 | 4782059 JRobby
JRobby's picture

They will call you up and scold you.

I ask the caller where they are located so I can come by and drop off a check. That usually shuts them up.

Wed, 05/21/2014 - 12:45 | 4781751 onewayticket2
onewayticket2's picture

it's an election year....cannot have premiums skyrocket.

 

Wed, 05/21/2014 - 13:34 | 4781940 disabledvet
disabledvet's picture

Is the fool the one who pays for the insurance?

I imagine if you can afford the insurance you in fact do want to pay for it given this story. We seem to be creating a two tiered healthcare system ironically enough. Those who are healthy and can pay...and everyone else.

Wed, 05/21/2014 - 13:38 | 4781953 CheapBastard
CheapBastard's picture

Moar Bailouts means gold will rise further as massive liabilities pile up.....that's just another reason Russia, China, Soros and even pauson are stacking.

Wed, 05/21/2014 - 12:54 | 4781782 power steering
power steering's picture

There sre more scandals than TV channels and as such nobody cares anymore about them especially since the media wont puersue any of them or clean them up and make them intelligible to the knuckle dragging sheeple

Wed, 05/21/2014 - 13:28 | 4781915 lakecity55
lakecity55's picture

Obviously, he never qualified for the office to begin with.

But, his crimes should have had him in prison two years or three years ago.

Wed, 05/21/2014 - 13:31 | 4781927 Falconsixone
Falconsixone's picture

What's Drudge? ZHeee Heee Heee Rules

Wed, 05/21/2014 - 14:00 | 4782021 GotNuttin'todo
GotNuttin'todo's picture

Funny. We need William to draw us a knuckle-dragging sheeple.

Wed, 05/21/2014 - 13:25 | 4781904 813kml
813kml's picture

No problem, removal of olfactory receptors is covered under Obamascam.

Wed, 05/21/2014 - 13:53 | 4782003 GotNuttin'todo
GotNuttin'todo's picture

Problem is, there is no place to run. Everywhere smells like shit, covered in merde, smoothered in mierda, completely hidden by scheibe ...

Wed, 05/21/2014 - 14:13 | 4782062 drendebe10
drendebe10's picture

It's not the country.... it's the continually re-elected corrupt ruling political turds that smell... and smell they do...  P.U.

Wed, 05/21/2014 - 14:23 | 4782094 Kirk2NCC1701
Kirk2NCC1701's picture

With all the Recalls going on, when will O get his Factory Recall?

Wed, 05/21/2014 - 15:12 | 4782123 813kml
813kml's picture

RoboBama is functioning according to its programming, self-destruct sequence has commenced.

Wed, 05/21/2014 - 13:04 | 4781839 duo
duo's picture

This is looking more and more like single payer (the taxpayer) every day.

Just wait, in a couple of years everyone will be screaming for it, as the country is turned into a giant VA.

Wed, 05/21/2014 - 13:31 | 4781925 BlindMonkey
BlindMonkey's picture

Being a vet myself I have made a bumper sticker slogan about this very topic.

 

"If you think socialized medicine is a good idea, ask a Vet about the VA."

Wed, 05/21/2014 - 12:37 | 4781726 Spastica Rex
Spastica Rex's picture

BEST MDB POST EVER!

Is truth your new shtick?

Wed, 05/21/2014 - 12:50 | 4781753 Chupacabra-322
Chupacabra-322's picture

Why? Because MDB is "all in" on the Criminal Defrauding of The American People via The Act of 1871 & Federal Reserve Act of 1913 via the Criminal UNITED STATES, CORP. INC.

That's why. The Entity (Troll) probably Government paid or NSA asshole has been trolling this site for years. MDB has just been playing stupid. Running with the False Narratives & PsyOp.

Wed, 05/21/2014 - 13:01 | 4781822 earnyermoney
earnyermoney's picture

Are you referring to either MillionDollarBonus or MillionDolarBogus or both?

Wed, 05/21/2014 - 13:32 | 4781933 BlindMonkey
BlindMonkey's picture

There is one and only one MDB my friend.  The other one of which you speak is a cheap imposter riding the coattails of the legend.

Wed, 05/21/2014 - 12:45 | 4781745 Vampyroteuthis ...
Vampyroteuthis infernalis's picture

I keep telling Obama drones it is simple as this, "The amount of money brought in by paying healthy customers will NEVER cover the costs of high risk customers under Obamacare." I knew the bailout was coming soon. 

Obamacare = fail

 

Wed, 05/21/2014 - 13:34 | 4781939 BlindMonkey
BlindMonkey's picture

Do you mean to say that AIDS paitents with TB and Hep C cannot cover their own healthcare costs?  I am shocked I tell you!!!  Simply shocked!!

1

Wed, 05/21/2014 - 12:36 | 4781723 SilverIsKing
SilverIsKing's picture

Jeb Bush crawling out of the shadows to make a run for President shows that the PTB is buying insurance against Hillary not running (Benghazi anyone?).  The articles I've seen so far are all positioning Bush in a positive light which, from an MSM perspective, is highly unusual.

Soon it will be a media pile on on Obama with Jeb Bush positioned as our savior.

SSDD

Wed, 05/21/2014 - 12:43 | 4781738 tip e. canoe
tip e. canoe's picture

beginning to think Bridgegate was a combined HillBilly/BushBoyz hitjob.

kill 1 opponent to 2 birds with 1 donut.

Wed, 05/21/2014 - 12:46 | 4781752 Oldwood
Oldwood's picture

Don't hold your breath. The media will always back the republican they think has the best chance to win nomination, yet lose the general election. Far too many republicans don't want another Bush. But after yesterday's primaries, the republicans are convinced they can win again with the same old centrist bullshit that has gotten us to exactly where we are today. Winning for them is claiming victory in increasing the travel time to hell by a quotient of two over the left. There are some of us a little more concerned about ten years hence than these bastards. The road to Hell indeed.

Wed, 05/21/2014 - 13:28 | 4781913 NotApplicable
NotApplicable's picture

+1 for the definition of winning.

Meanwhile the leftys' would be happy with the same outcome.

Wed, 05/21/2014 - 12:50 | 4781769 McMolotov
McMolotov's picture

Jeb — the "smart" Bush with his Mexican wife. It's a fucking PR guy's wet dream. Can you imagine if he runs against Biden? He wouldn't even have to campaign; he could just stand there and let Biden do all the talking.

If Jeb wins, I think the Canadian identity I fake out of embarrassment for being an American will finally have to become the real thing, eh.

Wed, 05/21/2014 - 13:05 | 4781848 Dr. Engali
Dr. Engali's picture

A group of guys that I have regular lunch with genuinely believe that things can be fixed if Jeb gets in the white house. I'm not talking about shmucks.. engineers, chemists, and Drs.  They all look at me like I'm a freak when I say.. he's just the same horse of a different color. If this is America's brightest I may have to join you in Canada.

Wed, 05/21/2014 - 13:23 | 4781900 GotNuttin'todo
GotNuttin'todo's picture

Well don't move to Toronto as an example.

Wed, 05/21/2014 - 13:33 | 4781935 Hulk
Hulk's picture

I recommend watching "Fargo" for help with pronunciation...

Wed, 05/21/2014 - 13:38 | 4781956 BlindMonkey
BlindMonkey's picture

And then graduate to the "Trailer Park Boys"

 

http://en.wikipedia.org/wiki/Trailer_Park_Boys

Wed, 05/21/2014 - 13:30 | 4781923 NotApplicable
NotApplicable's picture

I can't imagine Biden can even win the D ticket. Even someone like Kucinich could beat him up (assuming he was allowed to speak).

Wed, 05/21/2014 - 15:46 | 4782326 Everybodys All ...
Everybodys All American's picture

Very true. Any time the media starts the polling and positioning these guys I get sick to my stomach. The whole system of choosing a president is rotten to the core. It used to be that primaries  and process mattered. It used to be that the peoples choice came froma fair election process. It doesn't seem to be the case any longer. The media can now control the outcome cecause a lot of people are undeducated or misinformed easily.

Wed, 05/21/2014 - 17:07 | 4782637 mc225
mc225's picture

'it used to be'... in your dreams?

Wed, 05/21/2014 - 13:49 | 4781985 10PastMidnight
10PastMidnight's picture

you folks still vote, are you fucking serious? sooner the plebs stop supporting these ass wholes by voting, the sooner we can get on with our lives and start something decent, like a new system.

Wed, 05/21/2014 - 14:32 | 4782128 Groundhog Day
Groundhog Day's picture

Obamacare is another piece of shit legislation for the insurance companies.  A couple I know (husband 67, wife 63) needed temporary insurance for the wife for 2 years as she doesn't qualify for medicare yet. They spoke to all their doctors and worked out a fair cash payment for all thier needs as they have the money to do so.  They only wanted a catasrophy policy in case she gets hospitalized.......under the new obamacare / affordable care myass act those policies no longer exist.  She has to take one of the ridiculous policies for 850/mo.

my advise for her was to give her children the money now....claim poverty and you'll be 100% covered

Wed, 05/21/2014 - 17:09 | 4782648 James-Morrison
James-Morrison's picture

If you like your current insurance rates,
You can keep your current insurance rates.

What kind of Idiots do they think we are?

The Finest.

Wed, 05/21/2014 - 12:32 | 4781707 Shrapnel
Shrapnel's picture

Considering the present state of this circus along with the rate at which events have begun to accelerate as of late, 3 years sounds awfully optimistic.

Wed, 05/21/2014 - 12:33 | 4781708 Uber Vandal
Uber Vandal's picture

You are much more optimistic than I am.

Wed, 05/21/2014 - 13:10 | 4781865 kchrisc
kchrisc's picture

3?!

I doubt it. I don't even think the Petro$, and by extension, the DC US, has 3 years.

Like a stage-IV cancer patient with a congestive heart ailment, one of them is going to kill you.

Wed, 05/21/2014 - 13:28 | 4781917 Canadian Dirtlump
Canadian Dirtlump's picture

Point well made. At this point the naked lawlessness of things, and the precarious state of just about everything definitely means we're in the 4th quarter. I expect war, bail ins and martial law may all be on the new summer menu.

Wed, 05/21/2014 - 14:11 | 4782054 drendebe10
drendebe10's picture

The corrupt, arrogant, narcissistic, illegal indonesian kenyan alien muslim ignoramus sociopath liar in chief's death panel care was co-written by health insurance highly paid lobbyists creating massive windfall profits for the health insurance industry.  They have jacked up premiums, jacked up deductibles to $12K and ratcheted down, down, down coverages all of which are great for their bottom line obscene profits and equally obscene salaries for their corporate officers...  and now they will be able to cook the books, and you can bet your last inflated buck they will, so they can tap into the QE funded bailouts....... ain't it grand.....  so fasten your seat belts, folks, cuz Phoenix VA Hospital quality care is coming to your neighborhood soon....

Wed, 05/21/2014 - 14:46 | 4782168 Blues Traveler
Blues Traveler's picture

Haus, philosophically I agree but since USD is the reserve currency and USCB can print, I am afraid they can keep it going for a long time.  IMO when they do, I think they will replace the stolen money w a low coupon 30 year treasury adn then tax the coupon on it.    

Wed, 05/21/2014 - 15:16 | 4782236 Raging Debate
Raging Debate's picture

Blues Traveler - No they can't just print. China is the reserve currency now according to the IMF. So when this legislation says it will take from something else and give it to insurers, something else will mean Medicare and Medicaid. To balance the budget draconian cuts are coming and at the beggining stages. No more printing after 2014 means direct taxes will rise such as the IRS sending me a letter stating I filled out a 1099 for one subcontractor wrong and will now be charged standard witholding for that subcontractor plus interest at 28%.

Or like when NH went bankrupt in 2011 and made UI law retro to not cover former employees such as in 2007. They sent a bill for $7k and when I said was beinging lawyer stating they broke the social contract, was going to bring all UI payments made they wiretapped my account for the $7k the next morning. This is how the bail-ins will be done. And if your middle or upper middle class your basically the target because the poor have nothing to tax and rich already escaped it.

The looting shall continue until the theives are stopped. To do so think of termites that infect a house. It is a giant clusterfuck and the last 15 years were invested in China while America was hollowed out. Sucks to be owned by the BiS and Rothschild's. I will expect an EMP or WMD attack when America does revolt, scorched earth policy on the way out like War of 1812. Time for South America methinks. I cringe with every tax dollar I pay now.

Wed, 05/21/2014 - 15:35 | 4782295 Blues Traveler
Blues Traveler's picture

Raging, a friend of mine is employment/labor attorney for small/med companies, he said the IRS is already questioning/squeezing businesses, questioning contract hours vs FTE, layoffs etc., trying to create fines and penalties.

The media must be included in the scorched earth policy.

Wed, 05/21/2014 - 17:24 | 4782705 Buck Johnson
Buck Johnson's picture

I agree with you also, 3 years sound just right.

 

Wed, 05/21/2014 - 18:35 | 4782949 icanhasbailout
icanhasbailout's picture

in 3 years no one who's been able to hold onto any significant amount of money will be caught dead having it in a US bank

Wed, 05/21/2014 - 12:22 | 4781653 insanelysane
insanelysane's picture

Captain Obvious here.  If I know that any losses will be covered by the government, everyone gets a raise, bonus, and let the champagne flow from the corporate water coolers.

Aw shucks, we spent more than we took in.

Wed, 05/21/2014 - 12:25 | 4781677 McMolotov
McMolotov's picture

FASCISM, BITCHEZ.

DC needs to be nuked from orbit.

Wed, 05/21/2014 - 12:31 | 4781703 Never One Roach
Never One Roach's picture

Ben Dover Mekians......

Wed, 05/21/2014 - 12:38 | 4781729 Xibalba
Xibalba's picture

But we ARE people!   - said the insurance company  

Wed, 05/21/2014 - 12:35 | 4781719 Antarctico
Antarctico's picture

DC needs to be nuked from orbit.

As an alternative, couldn't we just break out the guillotines? The tidal basin is very pleasant when the cherry blossoms are in bloom, plus I would hate to see the Jefferson Memorial turned into a sheet of glass.

Wed, 05/21/2014 - 12:39 | 4781733 McMolotov
McMolotov's picture

Sorry, it's the only way to be sure.

Wed, 05/21/2014 - 12:24 | 4781664 StacksOnStacks
StacksOnStacks's picture

I knew I had heard it before from someone in the comments.  Good work!

Wed, 05/21/2014 - 12:26 | 4781679 Grande Tetons
Grande Tetons's picture

This con has been baked into the cake for decades. 

 

Wed, 05/21/2014 - 13:35 | 4781944 NotApplicable
NotApplicable's picture

This is nothing new. We've even been talking about it here for a while (see the comments).

http://www.zerohedge.com/news/2014-02-06/obama-considering-three-year-ex...

 

Wed, 05/21/2014 - 12:26 | 4781680 j0nx
j0nx's picture

Yep and people wonder why food and gas continues to rise in price. Keep believing that lie that droughts, climate change and animal diseases are responsible for these prices and that continual bailouts, thievery and other miscellaneous shenanigans via dollar devaluation are not the real reason.

Wed, 05/21/2014 - 12:28 | 4781685 williambanzai7
williambanzai7's picture

Wed, 05/21/2014 - 12:54 | 4781779 worbsid
worbsid's picture

That is very good William in many different ways and levels.

Wed, 05/21/2014 - 13:26 | 4781906 GotNuttin'todo
GotNuttin'todo's picture

Ironically, I think you might be right!

Wed, 05/21/2014 - 13:28 | 4781914 Osmium
Osmium's picture

An instant classic.  Great job!

Wed, 05/21/2014 - 12:17 | 4781626 RockRiver
RockRiver's picture

This whole "executive order" shit is troubling.

Wed, 05/21/2014 - 12:22 | 4781651 Tenshin Headache
Tenshin Headache's picture

It's becoming routine enough to be indistinguishable from "Royal Decree."

Wed, 05/21/2014 - 12:53 | 4781780 dryam
dryam's picture

Look, it's what dicktators do.

Wed, 05/21/2014 - 12:26 | 4781681 Relentless101
Relentless101's picture

Isn't that the way dictators run countries?

Wed, 05/21/2014 - 13:24 | 4781902 GotNuttin'todo
GotNuttin'todo's picture

Not all. Singapore has it's shit together, at least for now.

Wed, 05/21/2014 - 13:31 | 4781929 PacOps
PacOps's picture

Back in the 60s the expats in Asia had a saying ... "If you liked Nazi Germany, you'll love Singapore." I haven't been back over since the late 70s but imagine it hasn't changed.

Wed, 05/21/2014 - 13:41 | 4781966 GotNuttin'todo
GotNuttin'todo's picture

Well then you need to go back. Just don't steal anything while you're there.

Wed, 05/21/2014 - 14:38 | 4782141 Pure Evil
Pure Evil's picture

Much less smuggle or deal illegal drugs. They make Texas look tame by comparison.

Wed, 05/21/2014 - 15:43 | 4782318 Blues Traveler
Blues Traveler's picture

Screwtape,, don't dscount us yet.  Even the slow ones are beginging to understand the rain coming down on our backs is not rain.

Wed, 05/21/2014 - 13:07 | 4781833 fockewulf190
fockewulf190's picture

Seriously, what the hell is up with this guy?  It´s like he knows the Earth is going to be smashed by a 10 mile wide asteroid in the near future, so we might as well live it up, max out the nations credit line, and fuck the future.  Bail out insurance companies if they suffer a loss?   Anybody with half a brain knows that ALL healthcare insurance companies will promptly be near bankruptcy and they will ALL be demanding money from the Feds. 

He is going to leave behind a $20 trillion dollar+ pile of shit by the time his term is over.  Maybe we would be better off if that asteroid did hit.

Wed, 05/21/2014 - 13:09 | 4781861 Relentless101
Relentless101's picture

Started with Bush and will go on until we get someone who will fall on the proverbial knife that is entitlement cuts. We need a one term president that has no political commitments, no ulterior motives, and half a brain. Seems so simple but as we well know is completely impossible.

Wed, 05/21/2014 - 13:32 | 4781932 NotApplicable
NotApplicable's picture

Vote NOTA

Wed, 05/21/2014 - 15:50 | 4782338 Everybodys All ...
Everybodys All American's picture

I'm a little older and I'm here to tell you the entitlement programs and the largess of federal government started long before Bush.

Wed, 05/21/2014 - 13:30 | 4781921 Osmium
Osmium's picture

If you like your endless bailouts, you can keep your endless bailouts.

Wed, 05/21/2014 - 14:03 | 4781844 yrbmegr
yrbmegr's picture

I suggest you review the history of executive orders if you are troubled by them.  We have had one about every nine days since the founding of the republic.

Wed, 05/21/2014 - 13:32 | 4781934 lakecity55
lakecity55's picture

Well, surprise. He IS a dictator.

An actual, ruling Dictator who has control of the USG.

And The People allow it.....

Wed, 05/21/2014 - 12:18 | 4781628 machineh
machineh's picture

I'd call this Third World, but that would be an insult to developing nations.

Wed, 05/21/2014 - 12:18 | 4781631 pods
pods's picture

Of course this provision was in there, they wrote a good part of the bill.

No matter.  This whole thing is going to collapse before we figure out just how bad this health care law is.

pods

Wed, 05/21/2014 - 12:27 | 4781683 Duke Dog
Duke Dog's picture

Yep, this was in the original legislation (guaranteed profit to the insurance companies) - not sure why this is "News" now. I guess they've started writing the regs to implement it over the last few months.

Wed, 05/21/2014 - 12:35 | 4781710 Dr. Engali
Dr. Engali's picture

It's news now because the costs are running much higher, and youth participation rates much lower than anticipated, which means the insurance companies need more funding to head off any rate hikes.

Wed, 05/21/2014 - 12:38 | 4781730 Spastica Rex
Spastica Rex's picture

I think the only thing ever "anticipated" was big insurance profits.

Wed, 05/21/2014 - 15:27 | 4782267 Raging Debate
Raging Debate's picture

Spastica Rex - You forgot campaign contributions are expected also.

Wed, 05/21/2014 - 12:35 | 4781718 Winston Churchill
Winston Churchill's picture

News now because its going wildly overbudget.
What a surprise.
I have a doctor client that's prepping his house like a fortress. What does he know I wonder ?

Wed, 05/21/2014 - 12:56 | 4781794 intric8
intric8's picture

once again for clarity, is this an ad hoc imposition or not? Are they tweaking along the way while the taxpayer increasingly gets the shaft? Oh what the hell. Deficits dont matter anymore. we will default at this point anyways so ring the bill up

Wed, 05/21/2014 - 12:19 | 4781632 dontgoforit
dontgoforit's picture

Bail out the bail outs.  Then bail them out again.  QE to infinity to pay for all of this with IOU's that no one can pay.  Cloward-Piven sure is becoming obvious.  It only takes one good patriot.

Wed, 05/21/2014 - 12:20 | 4781638 q99x2
q99x2's picture

At least the taxpayers might actually be the workers in the EU or Canada and not US citizens. Dude commited treason so many times I've designated him as President of Washington D.C.

Wed, 05/21/2014 - 12:20 | 4781642 ThisIsBob
ThisIsBob's picture

You think bankers have you by the short hairs?  They are pikers compared to the medicals.

Wed, 05/21/2014 - 12:28 | 4781686 sessinpo
sessinpo's picture

ThisIsBob      You think bankers have you by the short hairs?  They are pikers compared to the medicals.

----

And where do those medicals have to go to (besides the gov) for cash flow shortfalls, the pikers.

Wed, 05/21/2014 - 12:28 | 4781687 john39
john39's picture

cross ownership. these are the same 'people'...  and i use that term loosely.

Wed, 05/21/2014 - 12:32 | 4781705 Bastiat
Bastiat's picture

Learn what it means to eat well, eat well, excercise, learn to control your stress response, that is: do everthing in your power to avoid the medical system.  When it's time to go, let go.

Wed, 05/21/2014 - 13:01 | 4781830 Acidtest Dummy
Acidtest Dummy's picture

Doctors are a profession that prey on the sick and dying. It is said, "God[sic] heals and the doctor collects the bill."

Wed, 05/21/2014 - 13:18 | 4781888 GotNuttin'todo
GotNuttin'todo's picture

Doctors haven't had a raise from Medicare for 10 years. Look it up if you know how to read.

Wed, 05/21/2014 - 13:25 | 4781903 Dr. Engali
Dr. Engali's picture

A Dr. Is the tool in which God uses to heal the sick.

Wed, 05/21/2014 - 16:56 | 4782600 Cathartes Aura
Cathartes Aura's picture

phew.

what does that make Big Pharma?

Wed, 05/21/2014 - 18:04 | 4782850 WillyGroper
WillyGroper's picture

Agent Orange & reocurring revenue for the Doc.

Wed, 05/21/2014 - 13:31 | 4781928 813kml
813kml's picture

Controlling stress response is key, hard to do in this increasingly fucked up world.  I avoid most real-life Americans nowadays, my BP can't handle their ignorance and stupidity.

Wed, 05/21/2014 - 12:20 | 4781643 BullyBearish
BullyBearish's picture

Every fricken corridor in DC is a risk corridor

Wed, 05/21/2014 - 12:25 | 4781670 machineh
machineh's picture

... leading to a dark blowjob alley.

Wed, 05/21/2014 - 12:21 | 4781644 dontgoforit
dontgoforit's picture

We are is such trouble with this ass in charge.  Will we survive?  At this point I'd say 50/50 chance or less.

Wed, 05/21/2014 - 13:17 | 4781885 GotNuttin'todo
GotNuttin'todo's picture

Problem is, our man BO is just a figurehead. The real issue is with the oligarchs in charge (aka life long politicians) who have no real party allegiance. other than the party known as, "My Own Pocket Book"

Wed, 05/21/2014 - 15:58 | 4782356 Blues Traveler
Blues Traveler's picture

Correct, but he had the media adn the people behind him, he could have made a difference. Now his legacy is that he came in on a pack of lies and he will depart on a pack of lies.

Wed, 05/21/2014 - 13:50 | 4781988 sondernauch
sondernauch's picture

I give it zero chance. The ship has already been sliced open by the iceberg and the icy water has been pouring in for a very long time.

Wed, 05/21/2014 - 12:24 | 4781646 JustObserving
JustObserving's picture

The myth is that US budget deficit is shrinking.

The truth is that US debt and unfunded liabilities are at least $147 trillion ($1,260,000 per taxpayer) and rising at $8 trillion a year ($69,000 per taxpayer per year).

Keep buying that US 10 year at 2.5% - the best investment you will ever make after, of course,  paying Bernanke $250,000 per hour for his time.

Wed, 05/21/2014 - 12:25 | 4781674 LawsofPhysics
LawsofPhysics's picture

Correct, besides, related to the post, didn't we already bail these fuckers out and they "paid us back" or some shit like that?

 

Now can we roll the motherfucking guillotines already?

Wed, 05/21/2014 - 12:28 | 4781647 Dr. Engali
Dr. Engali's picture

A while back Fonz and I both believed that the next crisis would start with the insurance companies. To our amazement this never came to be, and now we know why.

Shortly there after I threw in the Spiderman towel and started BTFD.

Wed, 05/21/2014 - 12:51 | 4781771 derek_vineyard
derek_vineyard's picture

the government is 'all in' with the spx

anything and everything---if the spx falls, the government falls

Wed, 05/21/2014 - 12:23 | 4781655 The Most Intere...
The Most Interesting Frog in the World's picture

At some point we have to start referring to a bailed out industry as a new "government agency".  Think about it...

Wed, 05/21/2014 - 12:23 | 4781658 sessinpo
sessinpo's picture

But, but, NoDebt said that taxpayers haven't been hurt!

Wed, 05/21/2014 - 12:23 | 4781660 FuzzyDunlop21
FuzzyDunlop21's picture

Has the cheese slid off this guy's cracker or what? Having only private insurance companies sucks ass. But whats even worse is having private insurance companies, PLUS multiple layers of beauracracy, PLUS tax-payer money going directly to said companies. Before just the insurers were robbing me. But now the government is robbing me too. I havent been fucked this much since college 

Wed, 05/21/2014 - 15:36 | 4782297 Raging Debate
Raging Debate's picture

FuzzyDunlop21 - How about the state public-private partnerships with auto insurers? In half the states now hou lose your license for any reason to have it reinstated you require an SR-22 effectively being treated like a DWI and your insurance doubles.

Wed, 05/21/2014 - 16:59 | 4782614 Cathartes Aura
Cathartes Aura's picture

the very definition of corporate fascism, hmm.

and that can't even be blamed on DC.

Wed, 05/21/2014 - 12:24 | 4781663 VWAndy
VWAndy's picture

Well that didnt take very long. TBTF aka MMT.

Wed, 05/21/2014 - 12:25 | 4781669 Dingleberry
Dingleberry's picture

What is fucking new about this?

This was predicted yearsa ago...chapter and verse.

All the front-end money poured into this obomination was always destined to go to the insurers.

This was never about healthcare reform. It was always about insurance "reform"

Obama did the insureres a solid while the unwashed worshipping obamanites dutifully lined up and bent over. 

Wed, 05/21/2014 - 12:28 | 4781675 Kaiser Sousa
Kaiser Sousa's picture

congrats once again ye old debt coupon dollar slaves...arrangements for even more debt to be hung around your deserved necks are already in place...why deserved???

cause so many of you continue to participate in your own ass raping by remaining in the MoneyChangers debt based paradigm and saving in their debt based currency's ESPECIALLY THE DEBT COUPON DOLLAR....

if u want to remain slaves and continue to be fucked on a perpetual basis...keep doin what u been programmed to do...

if u want to recapture your freedom, then accumulate 1 of the only 2 forms of real money...

 

Wed, 05/21/2014 - 12:44 | 4781742 max2205
max2205's picture

140 mill not in work force starving the beast....it's a start

Wed, 05/21/2014 - 12:57 | 4781786 Kaiser Sousa
Kaiser Sousa's picture

precisely...

so clear yet so many remain motionless...

i have seen so many comments containing fear of what the country would look like if Gold and Silver were price anywhere near what their true value is, as if the continuation of the current fucked up rigged system isnt more so a reality to be feared...

the MoneyChangers programming of the citizens minds is a something to behold...

fear - the ultimate control mechanism.

Wed, 05/21/2014 - 13:04 | 4781841 worbsid
worbsid's picture

They are on welfare or disabled bennies or unemployment.  Ctrl P forever.

Wed, 05/21/2014 - 12:26 | 4781678 maskone909
maskone909's picture

people will simply stop paying.  as tax revenues decrease, and the ability to "bailout" with tax payers dollars becomes impossible, they will just print.  print... print...

the workforce is shrinking, makinng it impossible to tax our way out of this.  we are pretty much tapped out. 

Wed, 05/21/2014 - 12:30 | 4781692 maskone909
maskone909's picture

quantitatively, liquidating pensions and property only gives so much cash burn.  that will dry up fast too. 

 

edit

 

there has to be some formula that compares size of workforce to size of .gov liabilities to taxable income/assets.  its shrinking faster then maskone909 in a cold showwer.

Wed, 05/21/2014 - 12:30 | 4781699 john39
john39's picture

i don't think that any of this shit was ever designed to 'work' in the traditional sense.  it has all been about restructing the U.S., and the world for the matter, along their utopian lines...   masses as essentially slaves in a global fascist collective system.  the time to stop it is now, before its too late.

Wed, 05/21/2014 - 12:34 | 4781715 maskone909
maskone909's picture

not sure if we can stop it because there are so many hands in the cookie jar.  as it stands, the system appears to show more and more cracks.  the .gov is a lethal parasite to free markets.  the host(taxpayers) is pretty much dead.  the system is strangling itself to death with too many entitlements and liabilities.  look how desperate its getting IE Belgium buying bonds!!  WTF

Wed, 05/21/2014 - 12:32 | 4781704 pods
pods's picture

Well with more than a hundred trillion in unfunded liabilities I think even printing will not get us there.

ctrl-alt-del

pods

Wed, 05/21/2014 - 12:27 | 4781682 the grateful un...
the grateful unemployed's picture

in their perfect world private insurers will take care of all the VA needs. first you have to scare the patients the VA already has into dropping out of that system. to that end you make great compassionate speeches about the veterans (of which you are not one) while shifting funding away from VA programs ande subsiding private insurers, nothing here is news to me, the great phony liberal obama, like the great phony conservative bush, keep playing the corporate and global economic tune, private profits, public losses, for you their adoring public

Wed, 05/21/2014 - 12:28 | 4781688 therearetoomany...
therearetoomanyidiots's picture

"How could this possibly happen: simple - socialized central-planning is always, without fail a precursor to failure:"

 

It's supposed to fail, it's supposed to destroy what is left of the system.  Then the FSA will be screaming for single payer.   This is what was to happen, as planned.

Don't worry about the insurance companies, first the leaders will get their bonuses from the 'bail out' money.   Then, half the people will be laid off and the rest will just 'administer' the government plan.  

Dunno, think this is called, 'fascism'.  

Wed, 05/21/2014 - 12:29 | 4781690 BIHM
BIHM's picture

Looking at the budget deficit seems to be that the tax payer is out of bail outs.  So off to the presses boys, printing presses.  We'll make a party of it!  Question is that if we can just print any money we need without fearing any consequences down the road, why do they make us pay taxes at all??  Budget once was balanced.  Now around a trillion short.  If we'd have considered printing a trillion dollars to cover a shortfall 20 years ago folks would have said can't do it.  But here we are covering trillion dollar deficits which was greater than the budget 15 years ago.  So we could have just printed enough money to cover all expenditures for the past 15 years and presumably going forward.  So spend and print fellas spend and print but then don't fucking charge me taxes.

Wed, 05/21/2014 - 12:31 | 4781701 junction
junction's picture

 Where do I sign up to join the Temporary Risk Corridors Program? 

Wed, 05/21/2014 - 12:34 | 4781712 pound the vix
pound the vix's picture

NO this is impossible.  Government and Big business in bed with each other at the expense of taxpayers!!  CRAZY TALK

Wed, 05/21/2014 - 13:10 | 4781868 worbsid
worbsid's picture

/sarc

Wed, 05/21/2014 - 12:45 | 4781741 Yen Cross
Yen Cross's picture

     I keep thinking about the royal ass reaming our vets are taking and it becomes so crystal clear where this TOTUScare scam is going.

      Obunga can take his 8 million number and stuff it in his choom wagon.

   RAND study: By our estimate, 3.9 million people signed up for ObamaCare, not 7.1 million like the White House says « Hot Air

   How Many People Signed Up For Obamacare? - Business Insider

   Obama: Health insurance isn’t expensive – just cancel cable and phones; Update: White House responds « Hot Air

Wed, 05/21/2014 - 12:49 | 4781747 Dr. Engali
Dr. Engali's picture

Off topic: Big surprise, Stanley Fischer was just confirmed by the senate as the new fed chairman... er....  I mean vice chairman.

Wed, 05/21/2014 - 15:31 | 4782282 machineh
machineh's picture

It's for diversity -- Fischer is a Zambian-American. /sarc

Wed, 05/21/2014 - 12:48 | 4781761 rosiescenario
rosiescenario's picture

From the begininng you had to know that the insurance industry and the big pharma would turn out to be the chief beneficiaries of Obumacare....this is how D.C. works...the special interest groups with deep pockets are served and the public is screwed.

 

I complied with the supposed soon to be law and now pay the same insurance company more for less coverage. I doubt I am alone.

Wed, 05/21/2014 - 12:54 | 4781784 MathWins
MathWins's picture

Just another taxpayer subsidy to keep Democrats in office.  Sigh............

Wed, 05/21/2014 - 12:56 | 4781796 I Write Code
I Write Code's picture

Next year the corporate mandates finally hit - we assume.  If rates go up, every company will drop their plans and leave their employees to fend for themselves.  As has already been predicated anyway.

Basically this is a confession that NOTHING about Obamacare actually works, and it just keeps getting closer and closer to how things worked pre-Obamacare, just with a new multi-billion dollar bureaucracy on top of everything making everything more expensive than it used to be.

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