Baptist Health insurance arm to pull fully insured products from market

Lexington, Ky.-based payer Baptist Health Plan, the managed care subsidiary of Louisville, Ky.-based Baptist Health, stopped offering fully insured health plans July 1, according to a Lexington Herald Leader report.

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Under fully insured health plans, employers pay an insurer in advance to cover claims it projects to incur. In comparison, a self-funded plan involves employers paying insurers as claims are filed.

Baptist Health Plan cited “challenges due to a rapidly changing healthcare regulatory environment” as reason for its decision. However, the health plan said it is “financially sound.”

Baptist Health Plan’s fully insured plans cover less than half of its 80,000 policyholders, with the majority of members located in Kentucky and southern Indiana.  

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