Maryland co-op exits state's marketplace
Dec. 2, 2016
By Associated Press
Evergreen Health Cooperative
Inc. won't be issuing or renewing individual health benefit policies on the
Maryland Health Connection for the 2017 plan year, Maryland regulators announced
Thursday.
Evergreen, a start-up health maintenance organization that
began as a nonprofit, is working to become a for-profit company.
gAfter
many months of working closely with Evergreen management, leadership at the
Centers for Medicare and Medicaid Services and outside investors to find a
workable solution, we have run out of time to meet the deadline for a Jan. 1
effective date,h said Al Redmer, Maryland's insurance commissioner. gWe remain
committed to a viable, competitive insurance industry in Maryland.h
Tracy
Imm, a spokeswoman for the Maryland Insurance Administration, said Evergreen has
6,000 consumers on the Maryland health exchange. About 4,000 will be switched to
Kaiser Permanente, and 2,000 will move to CareFirst, she said. About 3,000
consumers who bought insurance directly from Evergreen or brokers will need to
find a new plan, Imm said.
Group policies remain in effect until the
policy renewal date.
Dr. Peter Beilenson, Evergreen's CEO, said
Evergreen's conversion from a nonprofit co-op to a for-profit company is moving
forward.
gWhen the conversion is done, Evergreen will be in a much
stronger financial position than we have ever been and, as a result, even better
able than before to provide the high-quality, affordable services that our
members have come to expect from us,h Beilenson said in a
statement.
Evergreen is one of the 23 nonprofit co-ops created nationwide
by the Affordable Care Act. Only six, including Evergreen, remain.