ACA Government Co-Ops: Is This Experiment Working In Your State?

[AllenChicago]

July 24, 2015

As the band Queen sang, "Another one bites the dust.." This time it's the Louisiana ObamaCare Health Insurer Co-Op.

Health Insurance co-op won't offer new policies next year, says will honor current policies
ac

 

[somarco]

Here is another article with a bit more information.

The Louisiana co-op was one of 23 companies created nationally by the Affordable Care Act and $2 billion in total loans.

Louisiana Health Cooperative discontinuing insurance operations after being created with federal funds under Obamacare | News | The New Orleans Advocate — New Orleans, Louisiana

And from S&P by way of Forbes

"All but one of the [23] co-ops included in our study reported negative net income through the first three quarters of 2014. … Most co-ops' weak operating performance is a result of high medical claims trend and not enough scale to offset administrative costs. … In fact, nine of the co-ops (including CoOportunity Health) reported a MLR [i.e., medical loss ratio; the claims compared to premiums] of 100% or more through September 2014."

 

[Cenla Agent]

The Louisiana co-op couldn't get enrollments even with them being much less expensive than BCBS here last year for most plans and even though they had what looked to me to be a very good network. I put somebody with them last year but told him that it looked like they were trying to buy a block of business and that they might not be around by the time the next AEP rolled around.

Basically this leaves BCBS with a virtual monopoly in many areas

 

[SamIam]

You are correct, eventhough I'm a broker when I send 99.9% if my business to BCBS I'm really like an employee that doesn't get benefits.

 

[AllenChicago]

August 26, 2015

As forum member InsuranceConceptsCindy brought to our attention earlier today, the Nevada Obamacare Co-op (Nevada Health Co-op) is closing its doors at the end of the year.

Story: Nevada Health Co-Op to close, leaving thousands to find new insurance - Las Vegas Sun News

We started with 23 state Co-ops... These have gone belly-up during just two open enrollments:

1. Vermont - Was squashed before it could open for business.

2. Co-Opportunity Health - Iowa/Nebraska

3. Louisiana Health Cooperative - Louisiana

4. Nevada Health Co-op - Nevada

That's a 17.4% failure rate. I wonder if the administration views these as "acceptable" losses... ie. No Big Deal.

 

[Yagents]

See their tagline in the picture?

For health. Not Profit.

How precious

 

[RayNY]

See their tagline in the picture?

For health. Not Profit.

How precious

My local co-op is "For people, not profit". Not too reassuring.

 

[AllenChicago]

The catch phrase used by our LOL (Land of Lincoln) Co-op is:

"We Are_______" See: https://www.landoflincolnhealth.org/


Gosh, I can think of so many words to fill in that blank!

 

[sman]

The catch phrase used by our LOL (Land of Lincoln) Co-op is:

"We Are_______" See: https://www.landoflincolnhealth.org/


Gosh, I can think of so many words to fill in that blank!

Insert the letters SOL.

 

[AllenChicago]

Insert the letters SOL.

That's hilarious! S.O.L.