Alaska, Oregon suspend activity by health insurer Moda
JUNEAU (AP) — Alaska insurance regulators have suspended Moda Health Plan from accepting new or renewal policies in the state, citing concerns with the Oregon-based company's financial situation.
Moda is one of two companies offering individual insurance policies for Alaskans on the federally facilitated health insurance marketplace. The other is Premera Blue Cross Blue Shield.
The Alaska Division of Insurance acted Thursday after officials in Oregon placed the company under supervision due to its financial condition.
The supervision order issued by Oregon's Department of Consumer and Business Services calls for the company to submit a business plan that it deems acceptable by Friday. The department says Moda cannot issue new policies or renew current policies in the individual market or add new groups.
A message was left for a Moda spokesman.
Below is the press release from the Alaska Division of Insurance:
“The Division of Insurance has been closely reviewing Moda’s financial status and monitoring related consumer complaints,” said Lori Wing-Heier, Director of the Division of Insurance. “We took this action to protect Alaskans—Moda’s inadequate capital and excessive operating losses put it in a hazardous financial situation.
“Today’s action will facilitate the division’s participation in the company’s financial decisions to ensure that policyholders are protected. The division will do everything within its authority to see that Moda’s policyholders will continue to access medical services until they can be transitioned to another insurer.”
Information for policyholders will be made available on the Division of Insurance’s webpage as it emerges.
The Determination of Impairment order is effective today; however, Moda’s insurance policies may still appear on healthcare.gov through the end of the open enrollment period on January 31. The Division of Insurance advises consumers still shopping for plans to choose an insurer other than Moda. Alaskans already enrolled with Moda will need to switch plans; there will be a special enrollment period to allow for the transition. The Division of Insurance is working closely with the federal Centers for Medicare and Medicaid Services and Center for Consumer Information and Insurance Oversight during this time.
Consumers with questions should contact the Division of Insurance consumer services specialists at (907) 269- 7900. FAQs will be posted to the division webpage https://www.commerce.alaska.gov/web/ins/Home.aspx by close of business, and updated as more information becomes available.