They did sell out to Obama. I bet that didn’t come easy and I am sure we do not know HOW or WHAT pressure was put on them.
Thing is, either way they are going to lose. I bet they will never see the bailout. Why? Because they are going to get all the blame and people will be opposed to a bailout.
All according to plan. The Risk Corridor was a scam. Par for the course from the O regime.
I can imagine the pressure this administration placed on the Insurance companies.
Let’s be honest about some facts: These companies were pressured to accept a ratio of 85% to 15%, meaning that 85% of all receipts had to be paid out in claims. Only 15% was allocated for overhead. Knowing the Industry, that is a very small part to pay for salaries, rent, taxes computer programs, etc.
The Insurance companies were really being told: Either you go bankrupt now or keep hanging around for a few more years. Guess what option they took? The same one we would have chosen.
Screw the job losses, after all it is for social justice, never mind those employees.