The not-for-profit insurer, half owned by Fairview Health Services, rocked Minnesota's already-struggling insurance exchange when it announced in September it would exit the exchange market for 2015. This year it captured nearly 60% of exchange enrollees on the strength of low premiums. PreferredOne said the exchange business was “not sustainable.” It reportedly paid $1.31 in claims for every $1 in premium revenue for the first six months. Experts said the insurer underpriced its plans. Now thousands of Minnesotans will have to choose a different exchange plan if they want to keep their federal premium subsidy.
Marcus Merz, CEO of Fairview, Q3 reform loser
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