UnitedHealth expects $4B loss in premium revenues from ACA exchange withdrawal

Minnetonka, Minn.-based UnitedHealth Group anticipates it will cover roughly 1 million fewer consumers through individual insurance plans this year due to its widespread ACA exchange withdrawal — resulting in a $4 billion loss in premium revenues, according to a filing with the Securities and Exchange Commission.

The projected loss reflects about 3 percent of UnitedHealth's total 2016 premium revenues.

In 2016, the payer offered on-exchange health plans in 34 states. To limit its financial exposure in 2017, the insurer exited all but three states' ACA exchanges.

While UnitedHealth left the exchanges after losing nearly $1 billion on its individual, on-exchange plans, the payer said proposed changes to the ACA "could materially impact our operating results, requir[ing] us to revise the ways in which we conduct business or put us at risk for loss of business," according to the filing.  

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