UnitedHealth considers pulling out of ACA — 5 highlights

UnitedHealth Group is potentially pulling out of the Affordable Care Act due to huge financial losses totaling hundreds of millions of dollars, according to Bloomberg Business.

Here are five highlights:

1. In October, the payer said it planned to sell coverage through the ACA in 11 more states in 2017. However, the payer will record losses of $275 million in the fourth quarter, which the payer, in part, attributes to its ACA plans.

2. UnitedHealth cut its 2015 earnings forecast, with the payer expecting as much as $500 million in losses on the ACA plans in 2016.

3. The payer said many individuals sign up for coverage, obtain care and then drop their prices, resulting in significant losses for UnitedHealth.

4. UnitedHealth covers less than 550,000 people on the ACA exchanges.

5. Other payers including Aetna and Anthem have suffered financial losses through government-run marketplaces the ACA created. Aetna and Anthem previously said they will maintain their ACA plans as the exchange business develops.

More articles on coding & billing:
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