Two major health insurers in Arizona are discontinuing Obamacare plans in part of the state next year.
Blue Cross Blue Shield of Arizona and Health Net will stop selling plans on the Affordable Care Act marketplaces in the city of Maricopa and Pinal County, dropping coverage for tens of thousands of enrollees, according to new state filings reported by the Arizona Republic.
Additionally, Health Net is scaling back its Obamacare offerings in Pima County, selling only mid-level silver and gold marketplace plans.
Blue Cross and Health Net are the latest insurers to terminate Obamacare plans, after many insurers have complained the plans are causing them to lose money.
UnitedHealthcare and Humana have decided to exit Arizona’s marketplace altogether next year, and United has pulled out of nearly every Obamacare exchange in the country.
Four other health insurance companies, including Aetna, Cigna, Health Choice Insurance Co., and Phoenix Health Plans have filed with the state insurance regulator to sell plans on the state’s marketplace next year. Their rates won’t be finalized until later in the year.
Enrollees in the new Obamacare plans have proven to be more expensive than insurers had originally anticipated, causing some companies to pull out or scale back their offerings. The problem will be exacerbated next year with the end of extra federal money provided by the Affordable Care Act to insurers with the sickest customers.
