According to the National Association of Insurance Commissioners, many of the remaining co-ops lost more than $20 million in 2015. For example, Illinois’ Land of Lincoln co-op lost $90.8 million last year. Evergreen Health Cooperative in Maryland lost $10.8 million.
For the remaining co-ops, 2016 performance will be crucial to survival. Although they now comprehensively cover 350,000 individuals — or almost triple their 2014 enrollment — they are also receiving significantly less in federal funding.
“Plan year 2016 is a critical year for these co-ops — they must move from startup to stability and improve their financial capabilities,” said Kevin Counihan, CEO of HealthCare.gov, according to the report.
More articles on healthcare finance:
Could Humana’s past predict the effects of its merger with Aetna?
CMS fines Humana $3.1M for Medicare violations
BCBS of Michigan lays off 22 workers
At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.