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Tuesday, February 02, 2016

Aetna CEO Says Obamacare Losses Raise Serious Concerns

http://www.courant.com/business/connecticut-insurance/hc-aetna-earnings-20160201-story.html

Mark Bertolini said during an earnings call that the enforcement of the health care enrollment period is creating problems, and called the changes that the government recently announced to tighten up those rules "necessary but not sufficient."
He said new regulations on network adequacy and standardization of benefits would limit Aetna's ability to offer affordable plans on the exchanges. At 3 percent to 4 percent, the Obamacare losses are a point or two lower than they had been earlier in the year.
The company projects losses will narrow in 2016.
UnitedHealth Group, the nation's largest health insurer, said last year that losses from its 550,000 customers on Obamacare exchanges are expected to reach $650 million this year and next, and that the company is considering exiting the exchanges in 2017.

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