The report analyzed health insurers' requests for risk corridor receivables. Those are funds supposed to be taken from profitable insurers and given to unprofitable ones under ObamaCare. Kentucky Health Cooperative booked more "receivables" expected to be coming from the risk corridor program than the company has in capital, which includes mostly federal loan and bailout funds.
According to the report, the Kentucky insurer booked an amount of risk corridor receivables equal to 117% of capital, more than every other insurer in the nation except one. The bad news for them and their customers is S&P estimates the risk corridor program is less than ten percent funded and there is no likelihood of Congress acting to make up the difference. That means the Kentucky Health Cooperative is toast.
Cooperative officials appear to be refusing all requests for comment and the Kentucky Department of Insurance has pulled down their web page that used to allow consumers to view rate increase requests.