Comment from Moda CEO on leaving AK market
In our email announcement this morning regarding Moda Health’s departure from the Alaska market, we included a quote from Commissioner Chris Hladick taken during a press conference today.
While the orders from both Oregon and Alaska allow Moda the opportunity to remedy the situation and re-enter the market, Moda’s CEO has stated that ‘It is the company’s intention to exit the individual market in both states rather than attempt to re-structure in a manner that would meet the actuarial requirements necessary to safeguard our consumers.’
Jonathan Nicholas from Moda Health offered a clarifying statement about the position of Moda vis-a-vis the Alaska market.
Bringing tens of thousands of people into the ACA marketplace, many of them with acute healthcare needs, has been a difficult process to manage,” said Robert Gootee, CEO of Moda, Inc., the parent company of Moda Health.
The cost of providing this level of care, with all its attendant uncertainties, has put an unprecedented financial strain upon our health plan. So, at the direction of the Insurance Commissioners in both Oregon and Alaska, we have resolved to exit the Individual ACA marketplace in both states. We now look forward to working to make sure that all individuals in the ACA marketplace will have no interruption in coverage as they transition to new carriers.