Selling individual policies makes them subject to the HIPAA law which requires them to sell an individual policy without underwriting to those folks who lose their group coverage. Essentially, they’ll just be dumping another group of high-utilization subscribers into the state pool.
“Selling individual policies makes them subject to the HIPAA law which requires them to sell an individual policy without underwriting to those folks who lose their group coverage. Essentially, they’ll just be dumping another group of high-utilization subscribers into the state pool.”
I read the article to find out why they left the market, and, annoyingly, the article didn’t say. It appears that you have given the reason, but I don’t understand the reason. I’d be grateful if you could elaborate for somebody who does not speak insurance. Is the key “without underwriting?” What does that mean?