Obama Admin. Offering Subsidies to Some Insurance Plans Bought Outside Exchanges

Christine Rousselle

3/3/2014 6:00:00 PM - Christine Rousselle

So much for "settled law": the Obama administration has announced that some people who purchased plans outside of the exchange will in fact be eligible for subsidies previously limited to those who had purchased health insurance plans in Obamacare exchanges.

Customers who attempted to purchase a plan on the exchange but were unable to do so due to technical failure will be eligible for some sort of retroactive subsidy.

This policy change came after John Kitzhaber, the Governor of Oregon, requested that an exception be made to assist people with the purchase of private plans after the Oregon exchange turned out to be a spectacular, utter, failure.

However, there could be another reason for the switch: damage control amidst the incredibly botched rollout of Obamacare, and mounting public disapproval about the law.

The New York Times agrees with the "damage control" theory:

The Obama administration said Friday that it would allow some people to receive federal subsidies for health insurance purchased in the private market outside of health insurance exchanges. The sudden shift was the latest in a series of policy changes, extensions and clarifications by federal officials trying to help beneficiaries and minimize political damage to Democrats in this election year.

Pathetic. Just scrap the whole thing.