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Health Insurers Rely on Group Coverage Profits to Offset Exchang
HealthLeaders Media January 17, 2018
The individual health insurance market is still a slog for health plans, but health plans remain profitable overall because of their group coverage sales.
Despite all the talk about how the Affordable Care Act and recent revisions to the healthcare law have challenged health plans to remain profitable on the individual market, insurers are reporting good financial results and are prospering.
That’s because their bread-and-butter business, group health insurance provided through employers, is largely unaffected by the turmoil in the individual market.
More than half of Americans have health insurance coverage paid for by their employers, in whole or in part, and another 40% are covered by Medicare or Medicaid, leaving only around 12% to fend for themselves in...
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