United Healthcare May Exit ACA Marketplace

uhcthumbOn the heels of half of the not-for-profit health insurance co-ops  created for the Affordable Care Act collapsing, the country’s largest insurer is indicating their potential exit from the health insurance marketplace.

United Healthcare reports a $425 million loss, $275 million of that expected for 2016, due to it’s ACA products.  UHC explains that the over half-million enrollees  to their exchange plans were sicker than expected and utilized services to a greater extent.  CEO Stephen Hemsley stated “We cannot sustain these losses”.  Commissions to brokers along with product marketing plans have already been decreased to discourage future enrollment.  UHC indicated they may be fully retracted by 2017.

Posted in Affordable Care Act, Company Information, Industry News