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Tags: Geography | Split | Obamacare | Plans

Geography Splitting Obamacare Into 2 Plans, Not Affordable for Many

Geography Splitting Obamacare Into 2 Plans, Not Affordable for Many

(AP Images)

By    |   Monday, 22 August 2016 10:57 AM EDT

The Affordable Care Act is not so affordable anymore for many Americans living in parts of the country where insurers have begged off, The Hill reports.

Americans living in the north, for example, still enjoy multiple insurers and plans that keep rates in line. But for Americans living in the south or in rural areas, Obamacare has resulted in rising costs, thanks to insurers pulling out, leaving many with just one plan to choose from, The Hill reports.

With Aetna and UnitedHealthcare pulling their plans in 2017, The Hill reported seven states could be left with just one insurer from which to choose.

"We certainly see this as an issue," Mike Rhoads, Oklahoma's deputy insurance commissioner told The Hill. "With only a single carrier out there, there is no competition. I think competition drives price sensitivity by these carriers."

Further, many of the states affected by the loss of carriers declined the expansion of Medicaid, leaving lower-income Americans without an insurance option, The Hill reports.

The issue with the carriers is simple — losing too much money offering Obamacare.

"As we discussed with one of the CEOs of a large HMO, who had competitive rates, they had their losses and their board of directors was just incensed that they hadn't made money, and it caused some turmoil within the organization," Rhoads told The Hill.

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The Affordable Care Act is not so affordable anymore for many Americans living in parts of the country where insurers have begged off, The Hill reports.
Geography, Split, Obamacare, Plans
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2016-57-22
Monday, 22 August 2016 10:57 AM
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