Co-ops Having Impact In Some Health Markets
Politico Pro reports that some nonprofit co-ops have forced Aetna to withdraw from some state exchanges because of what Aetna CEO Mark Bertolini describes as "irrational pricing." Meanwhile, the Associated Press features Dr. Peter Beilenson, who is trying to break the mold with his co-op in Maryland.
Politico Pro: Co-ops Have Impact In Some Health Markets
What’s the latest sign that the upstart nonprofit co-ops are having an impact in the market? Aetna CEO Mark Bertolini blamed the Obamacare-backed co-op health plans for his company’s decision to back out of some state exchanges last year. On a conference call with investors on Thursday, Bertolini suggested regulators’ efforts to force Aetna’s proposed premiums down to “irrational” co-op levels drove them out of states. “If there was any irrational pricing, it happened with a few of the co-ops as they went into the exchange,” he said. “We, in those markets, actually withdrew from those markets as we were asked to match co-op pricing” (Norman, 4/25).
The Associated Press: Nonprofit Builds Different Kind Of Insurance Firm
Maryland hadn’t had a health insurance co-op for 20 years. Then Dr. Peter Beilenson came along. Although Beilenson — who has held a number of prominent health positions — describes himself as a staunch advocate for a single-payer health care system, he said he felt compelled to start an insurance company that broke the mold (4/27).