The options were obtained by Fairview as part of a loan it provided to PreferredOne in October 2014, according to the report. However, Fairview did not divulge any specifics about if or when it would exercise the option.
PreferredOne received national attention for offering health plans with some of the lowest premiums in the country in 2014, according to the report. However, the insurer decided not to continue offering coverage through Minnesota’s Patient Protection and Affordable Care Act exchange, MNsure, in 2015 and increased premiums substantially on 2015 individual market plans. Both decisions, the report notes, came after PreferredOne sustained losses in the market for individuals who purchase non-group coverage.
More articles on payer issues:
Surplus of blame, shortage of trust: healthcare, heal thyself!
Neighborhood Health Plan will stay with Partners HealthCare
UnitedHealth posts $1.4B profit for Q1
At the Becker's 5th Annual Fall Payer Issues Roundtable, taking place November 2–3 in Chicago, payer executives and healthcare leaders will come together to discuss value-based care, regulatory changes, cost management strategies and innovations shaping the future of payer-provider collaboration. Apply for complimentary registration now.
