Indiana University Health Plans is dropping its individual policies from the Health Insurance Marketplace. The insurance arm of IU health says the move is the result of a restructuring of its product offerings for 2017 due to "heightened financial uncertainty" of Obamacare in Indiana.
IU Health Plans says those who purchased individual policies on the marketplace should look for alternative coverage for 2017. James Parker, president of IU Health Plans says much of the uncertainty surrounding the marketplace is associated with risk adjustment and the way in which the federal government assigns payouts.
"The changes are necessary to adapt to new market dynamics and potential federal responses to withdrawals by many companies nationally from the federally facilitated Marketplace," said Parker. "Refocusing plan offerings for 2017 allows IU Health Plans to remain committed to the Marketplace in Indiana, while gaining a better understanding of its fast-changing dynamics and possible federal responses."
The organization says individual plans that include IU Health providers will be available on the marketplace in 2017 through CareSource and MDwise. IU Health Plans will also offer individual products outside of the marketplace in the 62 counties its serves and will continue to offer commercial and Medicare Advantage plans.
The announcement by IU Health Plans comes one month after Fort Wayne-based Physicians Health Plan of Northern Indiana Inc. announced it was also dropping out of the individual marketplace.