The Obama administration is scrambling to figure out whether it is overpaying or underpaying for more than 2 million Americans enrolled in Obamacare as the White House confronts a paperwork disaster that threatens to cast more doubt over the controversial health care overhaul.
The latest Obamacare flap affects some 2.1 million people enrolled in taxpayer-subsidized private health insurance whose applications have conflicting information — such as income and citizenship and immigration status — that doesn’t match what the government has on file.
As a result, the Obama administration can’t figure out whether Americans are getting the actual subsidy amounts they are eligible for — or if they even qualify in the first place.
In some cases, Americans may even have to pay back the Internal Revenue Service if they got too generous a subsidy based on 2-year-old income information, experts say.
The Obama administration insisted yesterday that the discrepancies don’t automatically mean a patient is ineligible for Obamacare subsidies.
The latest snafu in the botched Obamacare rollout comes as Democrats who once championed the health care law face re-election.
“This could really boost Republicans running in 2014 boasting that it’s time for new management,” said GOP strategist Ford O’Connell. “It’s the best evidence that the government is not the best mechanism for delivering social services.”