Cigna will halt health insurance exchange sales in Kansas and Missouri while expanding its presence in North Carolina for the 2024 plan year, the company announced Monday.
The insurer will participate in the health insurance exchange marketplace in 350 counties across 14 states for next year, including 15 additional counties in North Carolina, a net decrease of 13 counties compared with this year. Cigna previously outlined plans to sell exchange policies in 20 states by 2025.
Cigna did not immediately respond to an interview request.
The insurer will sell exchange policies in Arizona, Colorado, Florida, Georgia, Illinois, Indiana, Mississippi, North Carolina, Pennsylvania, South Carolina, Tennessee, Texas, Utah and Virginia during open enrollment for 2024, which runs from Nov. 1 to Dec. 15.
Cigna's net income declined 6.2% to $1.5 billion, or $4.92 per share, during the second quarter as revenue grew 6.8% to $48.6 billion. The company's shares opened at $280.59 on the New York Stock Exchange Monday, flat from its closing price Friday.
Cigna enrollment rose 9.5% to 19.5 million during the second quarter on growth in the exchange and Medicare Advantage markets. Exchange membership more than doubled to 821,000 during the three months. Shrinking competition in some markets and sign-ups during special enrollment periods led to higher enrollment than expected, the company previously said.
The insurer has proposed a 21.8% average premium increase on the exchanges next year, the highest in the industry in the 42 states that have reported to date, according to the investment bank Stephens Inc. Cigna cited a higher-than-expected $160 million risk-adjustment charge in its exchange business this year as justification for rate hikes.