Assurant Health to Be Sold or Closed

[FLM2]

Assurant confident about benefits unit sale | LifeHealthPro

For the health unit, "We remain focused on mitigating losses," Pagano said.

For the benefits unit, he said, "We are highly confident in a sale."

Colberg said Assurant is not trying to sell the health and benefits businesses as a package. "We believe the buyer universe is very different for those two businesses," Colberg said.

They are profitable on their supplemental plans and losing their shirts on major medical-someone will certainly buy the supplemental products and they may recover enough from the reinsurance pool and other opportunities (the article refers to them as the '3 R's' to recover all (or most) of their losses as well.

They are out, it's unlikely anyone will replace them in the market, just another victim of ACA-it took less than 2 years to eliminate someone with over a 100 year footprint in major medical coverage.

 

[RayNY]

(the article refers to them as the '3 R's' to recover all (or most) of their losses as well.

I'm not sure about them specifically, but from the reports I've seen, it appears there is a whole lot less "3R" money than originally expected. They'll get something, but it turns out that reality meant more losses and less excess profit than expected years ago when the system was designed.

 

[Post Quartermaster]

I'm not sure about them specifically, but from the reports I've seen, it appears there is a whole lot less "3R" money than originally expected. They'll get something, but it turns out that reality meant more losses and less excess profit than expected years ago when the system was designed.

From some recent reading I have done, it really sounds like everyone will be in the dark about final 3R reimbursements until July or so.......


Some good reading:



S&P sees PPACA risk corridors program funding gap | LifeHealthPro

Guest Post: Putting the S&P Report in Perspective, by Rebecca Stob, ASA MAAA | ACASignups.net

 

[tonyisme]

The world of no underwriting is upon us.
Many countries have already gone down this road. countries like Brazil and some others.
Actuaries , loss ratio and reinsurance will determine which carriers remain. Then they will be squeezed even further.
We can't pay 30 percent increases each year

 

[Post Quartermaster]

The world of no underwriting is upon us.
Many countries have already gone down this road. countries like Brazil and some others.
Actuaries , loss ratio and reinsurance will determine which carriers remain. Then they will be squeezed even further.
We can't pay 30 percent increases each year

Some others?

Lol.

How about Europe, Canada, Japan, etc?

 

[RayNY]

From some recent reading I have done, it really sounds like everyone will be in the dark about final 3R reimbursements until July or so.......


Some good reading:



S&P sees PPACA risk corridors program funding gap | LifeHealthPro

Guest Post: Putting the S&P Report in Perspective, by Rebecca Stob, ASA MAAA | ACASignups.net

I've been seeing almost identical information. Entitled to millions of dollars for just filling out a form, but they won't bother, because they know the funds they're supposed to get just plain don't exist. That's what concerns me, carriers are so sure it's going to fail they didn't even submit the receivables paperwork.

 

[toddoxley]

Do not forget that Principal Mutual exited the health insurance marketplace almost immediately after ACA passed.

 

[AllenChicago]

Do not forget that Principal Mutual exited the health insurance marketplace almost immediately after ACA passed.

Here's a good summary analysis of why Assurant and other mid-sized (or smaller) health insurance companies will not/cannot survive the ObamaScare torture chamber.

Forum veteran Somarco has said this all along...

Excerpt: "...the United States is entering into an era of health care oligopoly where only four or five companies will control the entire system. These companies will have only one master: the federal government. No one else can determine a company’s success or failure."

Full Analysis: Assurant Health Falls Victim to Obamacare

ac

 

[cadylou]

Here's a good summary analysis of why Assurant and other mid-sized (or smaller) health insurance companies will not/cannot survive the ObamaScare torture chamber.

Forum veteran Somarco has said this all along...

Excerpt: "...the United States is entering into an era of health care oligopoly where only four or five companies will control the entire system. These companies will have only one master: the federal government. No one else can determine a company’s success or failure."

Full Analysis: Assurant Health Falls Victim to Obamacare

ac

This is what I thought from the beginning - only a very few large parties will survive. Every time the government says they are doing something huge that will "increase consumer choice", it ends up being an oligopoly.

I worked in the telecomm industry when they broke up the Bell System. They said it would increase "consumer choice" and be "good for competition". Sound familiar?

In the end, everything splintered, only to go through a ton of Merger & Acquisition activity to re-emerge as the few major players we have today that we purchase all of our phone service, television & internet services from.

Not sure about you, but I pay a lot for those services, and have little choice since all players in the marketplace eventually charge similar rates after the "initial offers" expire. . . .

Healthcare and insurance will be an even more expensive proposition. At least I'm not required by law to have cable or phone service. health insurance? Yes . . . .