Health Net, a California-based HMO, says it has given up trying to break into the Pennsylvania market, where it has just 32,000 enrollees, and will leave the state by September.
The Woodland Hills, Calif.-based company says it will maintain its physician and hospital network in Pennsylvania so that its members in Connecticut, New Jersey and New York can still get healthcare in Pennsylvania.
"The Pennsylvania market is extremely competitive," says Joe Singer, M.D., president and general manager of Health Net of Pennsylvania, in a release. "Unfortunately, we have never been able to achieve a size that would allow us to offer Pennsylvania-based employers cost-effective and competitive products."
In comparison to its Pennsylvania operation, Health Net says it has more 1.1 million members in Connecticut, New Jersey and New York.