Forbes' Avik Roy notes that Humana has expressed concern over the mix of business in its Exchange plans. Specifically, that young and/or healthy consumers are staying away from these plans in droves:
"Humana “now expects the risk mix of members enrolling through the health insurance exchanges to be more adverse than previously expected.”
That's worrisome for a number of reasons, not the least of which is the so-called "risk corridor," which is essentially a giant re-insurer or, in English, "thee and me." Briefly, if carriers suffer significant losses as a result of the Guaranteed Issue/No Pre-Ex Exclusion nature of the ObamaTax, you and I get to bail them out.
How lovely for them.
That Humana is signalling so early that this is already a probability does not bode well for those of us who actually pay taxes [ed:and, as Bob correctly notes in the comments, premiums].
"Humana “now expects the risk mix of members enrolling through the health insurance exchanges to be more adverse than previously expected.”
That's worrisome for a number of reasons, not the least of which is the so-called "risk corridor," which is essentially a giant re-insurer or, in English, "thee and me." Briefly, if carriers suffer significant losses as a result of the Guaranteed Issue/No Pre-Ex Exclusion nature of the ObamaTax, you and I get to bail them out.
How lovely for them.
That Humana is signalling so early that this is already a probability does not bode well for those of us who actually pay taxes [ed:and, as Bob correctly notes in the comments, premiums].
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