A Medicare Advantage plan jointly owned by Essence Healthcare and Stanford (Calif.) Health Care exited the California market Jan. 1, spokespeople for the organizations confirmed with Becker's.
A Stanford spokesperson told Becker's in December that "Essence decided to exit the market and terminate our provider contract."
St. Louis-based Essence is owned and operated by Lumeris, a value-based managed care platform that partners with health systems. Essence acquired a majority stake in Stanford's Medicare Advantage plan in 2021, with the health system maintaining minority ownership.
An Essence spokesperson said the company will not offer plans in California for the 2024 plan year, which previously included San Francisco Bay Area counties. Essence has more than 70,000 MA members and is still offering plans in Illinois, Missouri, Arkansas, Ohio, Kentucky and Indiana.
The Stanford spokesperson said the health system still accepts all Medicare Advantage patients if properly authorized by the carrier, regardless of whether the plan is contracted with Stanford.