The first shoe has dropped............who is next?
http://finance.yahoo.com/news/big-minnesota-insurer-leaves-obamacare-185046511.html
The "Blue Ox" of Minnesota Obamacare is calling it quits.
PreferredOne, the insurer that sold nearly 60 percent of all private health plans on Minnesota's Obamacare exchange, on Tuesday said it would leave that marketplace. PreferredOne's plans were the lowest-cost options on that exchange, known as MNSure.
----------
-----------------------------
Minnesota exchange leader PreferredOne dropping out for 2015 | Modern Healthcare
Roger Feldman, a University of Minnesota public health professor, said PreferredOne may have made a mistake by offering too-low premiums in 2014 to attract market share. He has studied what he calls the "lowball bidding phenomenon" and says fast enrollment growth can strain a smaller insurer and raise costs rather than reducing them. "In my experience this never works," he said. "I'm actually not surprised that (PreferredOne) left."
PreferredOne's exchange customers will have to switch to a plan sold on MNsure if they want to keep their premium subsidies, which are only available for plans offered through the exchange.
http://finance.yahoo.com/news/big-minnesota-insurer-leaves-obamacare-185046511.html
The "Blue Ox" of Minnesota Obamacare is calling it quits.
PreferredOne, the insurer that sold nearly 60 percent of all private health plans on Minnesota's Obamacare exchange, on Tuesday said it would leave that marketplace. PreferredOne's plans were the lowest-cost options on that exchange, known as MNSure.
----------
-----------------------------
Minnesota exchange leader PreferredOne dropping out for 2015 | Modern Healthcare
Roger Feldman, a University of Minnesota public health professor, said PreferredOne may have made a mistake by offering too-low premiums in 2014 to attract market share. He has studied what he calls the "lowball bidding phenomenon" and says fast enrollment growth can strain a smaller insurer and raise costs rather than reducing them. "In my experience this never works," he said. "I'm actually not surprised that (PreferredOne) left."
PreferredOne's exchange customers will have to switch to a plan sold on MNsure if they want to keep their premium subsidies, which are only available for plans offered through the exchange.
