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Health co-ops, created to foster competition and lower insurance costs, are in danger

Source: The Washington Post

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When the new health-care law was being cobbled together, Congress decided to establish a network of nonprofit insurance companies aimed at bringing competition to the marketplace, long dominated by major insurers.

But these co-ops, started as a great hope for lowering insurance costs, are already in danger.

While the debut of the Affordable Care Act this month has been marred by widespread computer problems, the difficulties the co-ops face have been less obvious to consumers. One co-op, however, has closed, another is struggling, and at least nine more have been projected to have financial problems, according to internal government reviews and a federal audit.

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As part of CPBJ reporter Heather Stauffer's health care beat, she's keeping you informed about the latest with the PPACA and what it means for your business.

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