Smith Bill Would Exempt CoOportunity Health Customers from Obamacare’s Individual Mandate

Congressman Adrian Smith (R-NE) introduced H.R. 954 today to exempt consumers who purchased coverage under a terminated qualified health plan funded through the Consumer Operated and Oriented Plan (CO–OP) program, such as CoOportunity Health, from paying Obamacare’s individual mandate penalties.

“Americans were falsely promised they could keep the insurance they had and liked, and now we are seeing they cannot even keep the insurance Obamacare created,” Smith said. “Many Nebraskans who purchased policies through CoOportunity Health were simply trying to responsibly follow the law, only to be left empty-handed and once again searching for insurance with even fewer options.

“Americans should not be penalized under a law when the law’s own failed program prevented compliance. CoOportunity customers deserve an exemption from Obamacare’s individual mandate and more time to review their health care options.”

CoOportunity Health, which services beneficiaries in Iowa and Nebraska, is one of 23 Consumer Operated and Oriented Plan Programs (CO-OPs) created through the Affordable Care Act (ACA) and received approximately $146 million in federal loans. On December 23, 2014, the Iowa Insurance Commissioner submitted a petition for an Order of Rehabilitation for CoOportunity Health. The company was taken over by the State of Iowa and now faces liquidation.