Baptist Health Plan has informed the state that it will withdraw from the individual health insurance market in Kentucky for the 2017 plan year.
The company is the fourth largest health insurance provider in the state, serving roughly 7,000 Kentuckians. Prior to its withdrawal, Baptist Health Plan had products available in 20 counties on the insurance exchange and 38 counties off the insurance exchange for the 2017 plan year.
Baptist enrolled more members in the individual market than expected in 2016, but “the federal risk assessments placed upon the organization under the Affordable Care Act is unsustainable by a corporation the size of Baptist Health Plan,” said Baptist Health Plan president James S. Fritz in a recent letter to Kentucky insurance commissioner Brian Maynard.
Members affected by the discontinuation will be able to continue coverage with Baptist through December 31, 2016, for those on the exchange, or through March 31, 2017, for those off the exchange. Notices of the withdrawal will be provided to all members, with information on the upcoming open enrollment period that begins November 1.
Baptist Health’s decision follows Aetna’s earlier announcement of its plan to withdraw from the state exchange in 2017 for financial reasons.