August 5, 2016
Obamacare losing it as the US 3rd largest health insurer loses around $300 million a year
The United States 3rd largest health insurer – Aetna – said on August 2nd 2016 that it was re-evaluating its positions on the state exchanges that make up the mainstay of the ‘Affordable Care Act’ – which is the healthcare law that is best known as Obamacare.
Aetna says it will not expand its Obamacare aids into the Indiana & New Jersey state exchanges in 2017, as against its original plan.
The company’s CEO also mentioned that the company was “carrying out a full evaluation” in regards to the Obamacare business.
At a conference point call, the firm mentioned that it anticipated a yearly loss on its ‘Affordable Care Act’ business, and “in the excess of $300 million.”
This line of movement is coming right after America’s biggest health insurer, the ‘United Healthcare’ firm, mentioned around April that it was deserting the exchanges almost completely.
The Department of Health and Human Services have also answered back stating that insurers are “acclimatizing to these variations” of the ‘Affordable Care Act’ at diverse paces and that the state exchanges are still sustainable.
This move could also be disturbing for consumers due to the fact that a vast number of insurers offering plans in a state – is closely connected to price of insurance.
Currently though, Aetna mentions that it has the “full assurance” that the states exchanges will be sustainable in the future and that insurers are only “adjusting to such changes at different rates.”