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Tipsheet

Another Democrat Calls ObamaCare Implementation a "Real Disaster"

As the Obamacare disaster rolls along, it's Democrats, not Republicans, who are expressing doubts over the bill. First, co-Obamacare author and Democratic Senator Max Baucus called it a
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train wreck. Then last week after the administration said it would postpone the employer mandate for a year, Democratic Senator Tom Harkin questioned the legality of the delay and now, California Democrat and Insurance Commissioner David Jones is warning the new exchanges could lead to rampant identity theft and fraud.

As California prepares to launch its health care exchange, consumer groups are worried the uninsured could fall victim to fraud, identity theft or other crimes at the hands of some of the very people who are supposed to help them enroll.

The exchange, known as Covered California, recently adopted rules for a network of more than 21,000 enrollment counselors who will provide consumers with in-person assistance as part of the federal Affordable Care Act. In some cases, they will have access to personal and financial information, from ID cards to medical histories.

But the state insurance commissioner and anti-fraud groups say the exchange is falling short in ensuring that the people hired as counselors are adequately screened and monitored.

Insurance Commissioner Dave Jones also said the exchange does not have a plan for investigating any complaints that might arise once the counselors start work. That means consumers who might fall prey to bogus health care products, identity theft and other abuses will have a hard time seeking justice if unscrupulous counselors get ahold of their Social Security number, bank accounts, health records or other private information, he said.

"We can have a real disaster on our hands," Jones, a Democrat, said in an interview.

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The news out of California piggybacks off of news last week that the IRS will hand out ObamaCare tax credits based on an honor system with no way to verify those seeking credits actually qualify.

If you thought the delay in the employer mandate was bad news for Obamacare, just wait. On Friday, Sarah Kliff and Sandhya Somashekhar of the Washington Post discovered that the Obama administration had buried in the Federal Register the announcement that the government won’t be able to verify whether or not applicants for Obamacare’s insurance exchange subsidies are actually qualified for the aid, in the 16 states that are setting up their own exchanges. Instead, until at least 2015, these states will be able to “accept the applicant’s attestation [regarding eligibility] without further verification.”

The feds will also allow people to gain means-tested subsidized coverage on the exchanges without having to…test their means. “For income verification, for the first year of operations, we are providing Exchanges with temporarily expanded discretion to accept an attestation of projected annual household income without further verification.”

The goal here is plain as day. The Obama administration is laser-focused on making sure that enough Americans enroll onto Obamacare-subsidized health insurance platforms, because if they do, it will be politically impossible for Republicans to repeal Obamacare in the future.
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House Republicans are expected to vote today to delay the individual mandate in Obamacare, saying that the delay of only the employer mandate until 2015 isn't fair. 

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