Clover Health laid off around 10 percent of its workforce as part of a broader restructuring effort toward profitability.
In an April 17 news release, the company said it plans to outsource its core plan operations to UST HealthProof, a payer administration company.
Clover Health estimates its partnership with UST HealthProof, layoffs and other restructuring efforts will generate $30 million in annual savings starting in 2024.
A spokesperson for Clover Health told Becker's around 65 employees were laid off, and the company has around 600 full-time employees as of March 30.
Clover Health, a Medicare Advantage company founded in 2014, has yet to turn a profit. The company improved on its loss margins in 2022, posting a $84 million loss in the fourth quarter of 2022, down from a $187.2 million loss in the fourth quarter of 2021.