Federal Funds Earmarked to Offset Affordable Care Act Insurer Losses

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.

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Healthcare reform specialists help people select insurance plans at an Affordable Care Act enrollment fair at Pasadena City College in 2013. (Credit: David McNew/Getty Images)

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.

Click here to read the full story on LATimes.com.