Humana to Exit ACA Exchanges by 2018
Humana has announced it will not be offering health plans on the Affordable Care Act (ACA) exchanges for the 2018 coverage year. The insurer’s plan to cease sales of individual health insurance plans through the ACA’s exchanges would potentially leaving more than 150,000 customers without a carrier.
Humana substantially reduced its ACA participation in 2016, saying it is “seeing further signs of an unbalanced risk pool,” as lawmakers continue with plans for repealing and replacing the federal healthcare law.
The February 14 announcement came on the heels of the news that the Louisville-based Humana and Aetna Inc. had terminated their proposed merger agreement after it was rejected by a federal judge on antitrust grounds.
Humana CEO and President Bruce Broussard told investors the company has the financial stability to return cash to shareholders and it will continue to pursue acquisition opportunities. Broussard said the company will direct its attention to different types of deals with healthcare companies with goals like advancing the care experience and making access to care more convenient.
“As an independent company, we will continue to innovate and sharpen our focus on the local healthcare experience of all our members, especially seniors living with chronic conditions. Our strategy not only improves the value we bring to members, doctors and other healthcare professionals, but it also helps reduce costs and enhances the growth platform for both our health plans and our Healthcare Services businesses, thus positioning us well for long-term, sustainable growth.” Broussard said.
“We are very proud of the tremendous effort and commitment of our associates during this extended period of uncertainty and their continuing focus and dedication to helping our members achieve their best health.”
Source(s): HealthPayerIntelligence, February 2017; Bizjournals.com, February 2017; HealthcareDIVE, February 2017; Reuters, February 2017; Forbes, February 2017; Humana, February, 2017;