In the Health Reform Update for the past week, four additional Consumer Owned and Operated Plans (CO-OPs) are shut down due to financial losses, while the remaining seven of the 23 non-profit insurance cooperatives created with Affordable Care Act (ACA) loans struggle to remain viable.
More than $600 million in losses may force the nation’s largest health insurer out of its remaining three Marketplaces for 2017, following its earlier decision to leave 31 Marketplaces. Humana announces that it will leave eight Marketplaces and dramatically scale back its plan offerings in others.
Marketplace premiums will rise by more than 13 percent on average in California, following two years of only four percent average increases, raising fears of similar spikes in other Marketplaces due to the expiration of the ACA’s risk corridor and reinsurance payments.
Alaska lawmakers formally drop their legal challenge to the Governor’s Medicaid expansion, while a phased-in expansion plan surfaces in Tennessee.