Insurance giant Cigna has decided to offer plans in three new Obamacare exchanges as other insurers have left the exchanges due to losses.
Cigna told the Washington Examiner that it has filed with local insurance regulators to expand in Chicago, Raleigh and Durham in North Carolina and Richmond, Va.
The insurer said its participation is contingent “upon future market conditions and approval of our regulatory filings.”
Cigna is offering plans in seven states this year, and this would build on that offering.
The decision comes as major insurers Humana and UnitedHealth have fled Obamacare’s exchanges due to profitability concerns.
UnitedHealth announced earlier this year it is exiting by next year a majority of the 34 Obamacare exchanges in which it offers plans. The insurer said it expects to lose $600 million in its Obamacare business.
Humana is planning to leave exchanges in four states.
However, other major insurers have remained committed to Obamacare.
In addition to Cigna, insurance giants Aetna and Anthem have said they will stay in the exchanges for now. They say they think the markets will eventually stabilize and become profitable.
The Obama administration has worked to try and appease insurers to keep them in the exchanges, thus ensuring robust competition for plans and lower premiums for exchange enrollees.
Earlier this year the administration eliminated some of the special enrollment periods that enable people to sign up for Obamacare year-round. They were created when the market was established in 2014, including one period that let someone sign up for Obamacare out of the open enrollment period if they were confused about the sign-up process.
The periods can wreak havoc for insurers as people would sign up for coverage if they were sick and drop out once they got better.
