Molina Healthcare to exit ACA exchanges in Wisconsin, Utah

Associated Press

August 3, 2017

MILWAUKEE ó Molina Healthcare Inc. said Wednesday it will exit the Affordable Care Actís insurance marketplaces in Wisconsin and Utah by the end of this year, citing costs that contributed to hefty losses for the health insurer in the second quarter.

The Long Beach, California- based company also expects the performance of its remaining ACA marketplaces will fall substantially short of previous expectations in the second half of the year.

Its withdrawal from the ACA public exchanges in Utah and Wisconsin comes ahead of a September deadline for insurers to pull out of the markets or commit to participating in the exchanges in 2018.

Steep losses have prompted some health insurers to back away from ACA public marketplaces. Others have been waiting for signs of stability before committing to staying on next year.

Molina said Wednesday that it is reviewing its participation in other state health exchanges, noting that the performance of its marketplaces in Florida and Washington have been among the most disappointing. It also plans to increase 2018 premiums for its remaining ACA marketplace plans by 55 percent.