Oklahoma has placed insurance company Friday Health under the supervision of the state's insurance department over concerns about the company's "declining financial situation."
The subsidiary of Alamosa-Colo.-based Friday Health Plans must present a plan to attain sufficient capital and surplus as required by Oklahoma law, according to an April 5 news release.
"The decision to place Friday Health under supervision was not taken lightly," Oklahoma Insurance Commissioner Glen Mulready said. "However, given the company's financial situation, we determined this was the best action to protect policyholders and ensure their claims are paid."
Oklahoma's supervision order comes after Texas regulators placed Friday Health into liquidation and ordered the company to end all operations in the state.
On its website, Friday Health Plans said members in Oklahoma will continue to have access to their benefits.
"We have grown incredibly quickly – which is a testament to the strength of our offering – and are currently working with our regulators to optimize our operations and create a solid foundation for Friday’s long-term success," the company said.
According to court documents, Friday Health cannot add any new members in the state, aside from dependents of existing members, while it is under supervision.
Aside from claims payments, the company also cannot spend more than $5,000 without the permission of the state's insurance department, and cannot change management or increase salaries or bonuses for existing executives.
The company was founded in 2015 and offers individual and small group plans both on and off the exchange. As of 2023, the company is offering ACA plans in Colorado, North Carolina, Georgia, Nevada and Oklahoma.