Humana May Be Next Insurer To Exit Some Obamacare Exchanges
The insurance provider is weighing changes to its 2017 business that could include leaving some Affordable Care Act marketplaces and raising premiums. Humana reports that profits fell 46 percent, in part due to costs related to its merger with Aetna.
The Associated Press:
Change Is In The Works For Humana ACA Exchange Participation
Humana became the latest health insurer to serve notice that it might leave some Affordable Care Act exchanges next year, creating more uncertainty for customers ahead of this fall's enrollment window and presidential campaign, during which the law is sure to remain a hot debate topic. The insurer, which is being acquired by rival Aetna, said Wednesday that it expects to make a number of changes to its business for 2017, and that may include leaving some markets both on and off the exchanges or changing prices. Humana Inc. sold coverage in 15 states this year. (5/4)
The Arizona Republic:
Humana Weighs Exit From Health-Insurance Marketplaces In Some States
Humana Inc. may become the latest health-insurance company to exit Affordable Care Act insurance exchanges in some states next year as it seeks to curb financial losses. (Alltucker, 5/4)
The Wall Street Journal:
Health Insurers Struggle To Offset New Costs
Insurers have begun to propose big premium increases for coverage next year under the 2010 health law, as some struggle to make money in a market where their costs have soared. The companies also have detailed the challenges in their Affordable Care Act business in a round of earnings releases, the most recent of which came on Wednesday when Humana Inc. said it made a slim profit on individual plans in the first quarter, not including some administrative costs, but still expects a loss for the full year. The Louisville, Ky.-based insurer created a special reserve fund at the end of last year to account for some expected losses on its individual plans in 2016. (Radnofsky and Wilde Mathews, 5/4)
The Wall Street Journal:
Humana Profit Falls 46%, Hurt By Costs From Aetna Merger
Humana Inc. on Wednesday reported its profit tumbled 46% in the first quarter of the year, hurt by costs related to the Aetna Inc. merger and a rise in a key measure of the company’s medical costs. Still, results for the health insurer, which in July agreed to be acquired by rival Aetna, topped expectations. Chief Financial Officer Brian Kane said the company is encouraged by early indicators in its Medicare and health-care services businesses “but remain cautious while our health-care exchange experience continues to develop.” (Steele, 5/4)
