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Does the Risk Corridor Program Have a Fatal Technical Flaw?
The Incidental Economist Link to more items from this source
May 4, 2014
"[T]he risk corridor program lacks any appropriations language. That won't matter for exchange insurers that have lower medical costs than they anticipated. They'll still be on the hook for making risk corridor payments-payments that, according to CBO, will amount to about $16 billion over the three-year life of the program. But the lack of an appropriation could matter a lot for insurers with heftier-than-expected costs. In [the Congressional Research Service's] view, HHS cannot pay them the $8 billion they're set to receive through the program.*"

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