Aetna Leaves California Individual Health Market
Aetna the 4th largest insurance provider in California is bowing out of the individual Health Insurance Marketplace. Aetna will stop taking applications for individuals as of July 15, 2013. And it is expected that about 50,000 individual policyholders will have to find new coverage in California. Aetna will continue to offer group insurance, dental, life, and Medicare.
California Insurance Commissioner Dave Jones is disheartened by Aetna’s choice to leave the market, “A competitive market with more choices for consumers is important as we implement the Affordable Care Act.” He stressed that Aetna leaving was not good for the Health Insurance Marketplace in California.
Aetna was not a plan chosen to work with the Exchange, but it was expected that they would continue to offer grandfathered plans after January 2014 -which is not happening.