CEO of Wisconsin co-op hopeful despite $108M it owes government

Out of 23 health insurance co-ops established under the Affordable Care Act, Brookfield, Wis.-based Common Ground Healthcare Cooperative is one of seven still afloat — at least for now, the Milwaukee Journal Sentinel reported.

The co-op, which insures about 20,000, faces $84.8 million in losses since its start in 2012, a deficit amplified by $107.7 million it owes the federal government. Despite the challenges, Common Ground's CEO Cathy Mahaffey told the Milwaukee Journal Sentinel she is confident the insurer will break even and exist through the end of the year.

Common Ground Healthcare is one of five companies to offer plans on the ACA exchanges in the Milwaukee area. The co-op started as the only health insurer to offer a provider broad network, which tended to attract those who were less healthy and incurred higher medical bills. One strategy the co-op used to survive was limiting its network to only Milwaukee-based Aurora Health Care and Green Bay, Wis.-based Bellin Health Systems to obtain better pricing. Ms. Mahaffey also said Common Ground is eyeing possible partnerships.

The co-op is processing claims from 2015 and will better gauge its long-term viability over the next several months, the Milwaukee Journal Sentinel reported.

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