Older, Sicker Consumers Will Bear Brunt Of Healthier People’s Decision To Go With New ‘Skinny Plans’
If younger and healthier consumers trend toward buying the new limited health plans, insurers will have to figure out a way to pay for the sicker people who are left. The Wall Street Journal explains the dynamics of the possible shift. Meanwhile, Anthem's earnings jump after scaling back health law coverage.
The Wall Street Journal:
Health Care’s New ‘Skinny Plans’: Winners And Losers
New, more-limited health plans may draw consumers away from Affordable Care Act coverage and drive up prices on insurance sold in the health law’s marketplaces. These “skinny” plans offer lower premiums, making them an attractive alternative for young, healthy buyers. But the plans can be loaded with restrictions. Often, people who aren’t healthy are blocked from buying them. Many don’t cover prescription drugs or pre-existing conditions, and some cap coverage, doing away with ACA requirements and potentially leaving buyers with big bills if they get sick. (Macnaughton and Wilde Mathews, 4/25)
The Wall Street Journal:
Are New Bare-Bones Health Care Plans Worth The Risk?
Last year, President Donald Trump signed an executive order that promised to cut back some of the rules in the Affordable Care Act. The new "skinny plans," expected out this year, are poised to benefit some and hurt others. WSJ's Spencer Macnaughton explains. (4/25)
The Associated Press:
Insurer Anthem's Earnings Jump 30 Pct As Medical Costs Fall
Anthem's first-quarter earnings shot up 30 percent, and the Blue Cross-Blue Shield insurer hiked its 2018 forecast, as a drop in medical expenses bolstered its performance. The nation's second-largest health insurer joined rival UnitedHealth Group Inc. in topping analyst expectations for the quarter and hiking its 2018 forecast. Anthem said Wednesday that it now expects 2018 adjusted earnings to be greater than $15.30 per share after saying in January that they would exceed $15 per share. (4/25)
The Hill:
Anthem Sees Profits Rise After Scaling Back Participation In ObamaCare
The company announced last year it would sell fewer ObamaCare plans in 2018, citing uncertainty and instability in the markets. Instead, Anthem has focused on growing its Medicare Advantage business. Enrollment in these plans grew by 237,000 during the first quarter. Overall, however, enrollment dropped by 2.5 percent, driven mostly by the insurer's decision to sell fewer ObamaCare plans. (Hellmann, 4/25)
And in news from the states —
The Hill:
California ObamaCare Official Urges Trump To Restore Outreach Funding
The head of the California ObamaCare marketplace is urging the Trump administration to restore outreach funding to encourage people to sign up, warning of higher premiums if the step is not taken. Peter Lee, the executive director of Covered California, wrote a letter to Health and Human Services Secretary Alex Azar on Wednesday calling on him to increase ObamaCare outreach funding. (Sullivan, 4/25)
Orlando Sentinel:
Individuals Affected By 2017 Hurricanes May Still Be Able To Sign Up For Obamacare
If you submitted an Obamacare application in the last two weeks of December -- after the open enrollment period had closed -- because you were affected by the hurricanes and didn’t qualify for special enrollment, you might have a second chance, according to Covering Florida. The federal government announced recently that it has identified applicants who were mistakenly denied to participate in special enrollment and is now notifying them about the error. (Miller, 4/25)
The Star Tribune:
Health Plan Enrollment Decline Eases In Minnesota
A year ago, the trade group for Minnesota's nonprofit health insurers sounded the alarm over a 30 percent decline in the number of people buying health insurance policies for themselves. This year, the tally is down once again, but not by nearly such a large margin, according to new figures from the Minnesota Council of Health Plans. What's more, the number of people buying individual health plans at the end of March was up compared with the previous December — the first increase between the fourth and first quarters in three years. (Snowbeck, 4/25)
