UNITEDHEALTH to exit individual insurance market in CA...
The nation's largest health insurer, UnitedHealth Group Inc., is leaving California's individual health insurance market, the second major company to exit in advance of major changes under the Affordable Care Act.
UnitedHealth said it had notified state regulators that it would leave the state's individual market at year-end and force about 8,000 customers to find new coverage. Last month, Aetna Inc., the nation's third-largest health insurer, made a similar move affecting about 50,000 existing policyholders.
California has been more aggressive than other states in forcing insurers in the exchange to compete more directly on price by establishing uniform deductibles and benefits across four main product categories. In response, many insurers have squeezed hospitals and physician groups for better rates and formed smaller networks of medical providers to hold down premiums.
The departure of another big-name insurer raised concerns about the effect of reduced competition on California consumers.
"I don't think this is a good result for consumers," said California Insurance Commissioner Dave Jones. "It means less choice, less competition and even more consolidation of the individual market with three big carriers."
FLASHBACK: AETNA Exits...
Houston doctors close doors...
"It's going to hurt me," says a Houston doctor of Obamacare. "But it's going to hurt the patients more."
Edited by Rogerdodger, 02 July 2013 - 03:35 PM.