Bright Health Pulls out of FL

[Chazm]

As a lot here already know, BrightHealth pulled completely out of the ACA market for 2023 and out of the MA market except for California and Florida.
Well, they are about to announce that they have decided not to offer MA plans for 2023 in Florida as of Tuesday.
Thankfully, I only have 23 people on their MAPD, but I have already spoken to everyone this AEP, and they were happy and wanted to stay with the plan.

A friend mentioned this to me, and I didn't believe it. So, I went to medicare dot gov, and they are not listed. He called BH, and they confirmed.

 

[Yagents]

As a lot here already know, BrightHealth pulled completely out of the ACA market for 2023 and out of the MA market except for California and Florida.
Well, they are about to announce that they have decided not to offer MA plans for 2023 in Florida as of Tuesday.
Thankfully, I only have 23 people on their MAPD, but I have already spoken to everyone this AEP, and they were happy and wanted to stay with the plan.

A friend mentioned this to me, and I didn't believe it. So, I went to medicare dot gov, and they are not listed. He called BH, and they confirmed.

[EXTERNAL LINK] - Bright Health Group shrinks Medicare Advantage business

Bright Health Group will end Medicare Advantage operations in Florida, further contracting its insurance business.

The insurtech announced in October it would be exiting the Affordable Care Act exchange business to focus next year solely on its Medicare Advantage operations in Florida and California, and on its NeueHealth provider arm. Now, the company will only operate Medicare Advantage plans in California for 2023, Chief Financial Officer Cathy Smith said during the third-quarter earnings call Wednesday.

“We’ve got a pretty significant change in our cost structure as we exit the ACA insurance business and MA insurance business in all states except California,” Smith said. “We’re well underway with business cost restructuring year-over-year, which will help that cost come down pretty quickly.”


The insurtech took a number of actions during the quarter to stabilize its finances.

The company sold $175 million of Series B stock to support its troubled cash position. It fully withdrew from its $350 million revolving credit facility, and has committed $46 million of this cash to support its provider arm’s participation in the federal Accountable Care Organization REACH payment model. It incurred a $79 million premium deficiency reserve charge, which means it expects to eventually lose this amount on a contract it sold. The company will spend $61 million next quarter from this charge, Smith said.

It expects to recoup another $250 million once it has paid out all the claims due from its dwindling exchange and Medicare Advantage businesses over the next six to 18 months.

 

[Chazm]

They haven’t even notified agents yet. Such BS

 

[Yagents]

They haven’t even notified agents yet. Such BS

Dude, they are broke and can't afford emails, not in the budget