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August 15, 2017 at 07:52 PM
Supporters of the Affordable Care Act scored a victory as health insurer Centene Corp. decided to dramatically expand in Nevada, filling in rural counties that were at risk of having no options next year.
Centene said Tuesday that it will sell statewide via its SilverSummit unit, a move that will help more of Nevada’s residents gain ACA exchange plan coverage. Nationally, the decision will reduce the number of empty counties to two: one in Ohio and one in Wisconsin.
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Many of Centene’s rivals have pulled back from the individual market, citing financial losses and uncertainty about how the Trump administration will run the public exchange system. Centene, seeing an opportunity to profit as others retreat, has plans to expand in nine states for next year. The company already had about 1.1 million exchange plan customers as of June 30.
Contributing to the unease for many insurers is the Trump administration’s threats to end the ACA cost-sharing reduction program subsidies, or subsidies that help cover out-of-pocket costs for low income customers. The Congressional Budget Office said on Tuesday that insurers would probably boost mid-level premiums by 20% next year, and by 25% in 2020, if the subsidies end.
