UnitedHealthcare’s withdrawal will leave 3.7% of the state’s current customers needing to find a new insurer.
UnitedHealthcare announced it will stop selling Oxford health insurance plans in New Jersey’s Affordable Care Act health exchanges.
According to the Asbury Park Press, this withdrawal will leave 10,794 people in need of a new health insurer for 2017. The company, however, said that it will continue to sell policies to NJ employers, Medicare, and Medicaid plans.
UnitedHealthcare said they expect to lose $650 million on Obamacare plans this year and started to withdraw from most exchanges where they lost money. This will leave only 4 choices of insurers for New Jersey residents currently covered under United’s plans.
Their insurance plans were described as in the middle pricewise, compared with AmeriHealth New Jersey and Horizon Blue Cross Blue Shield of New Jersey, who have less expensive plans.
According to the article, United leaving New Jersey does not fit its pattern of leaving states with less competition, a small range of premium prices, below-average premiums, and little room to grow.
Some experts do not believe this withdrawal will make much of a difference in New Jersey’s health exchanges, since there are other carriers to choose from, the article concluded.