2016 Was Rough Year for Major Minnesota Health Plans
MINNEAPOLIS (AP) — A report finds Minnesota health plans had their worst financial results in a decade last year.
The Minnesota Council of Health Plans, a trade group for insurers, issued the report Monday. The Star Tribune reports nonprofit insurers overall reported an operating loss of $687 million on $25.9 billion in revenue in 2016.
The report cites losses on state public health insurance programs and individual market enrollees.
Health plans tried to stem the red ink in both markets as losses mounted during the year.
The council says as a percentage of revenue, the loss for health plans in 2016 was minus-2.7 percent — the lowest operating margin in a decade. Health insurers made a profit on operations in seven years during the past decade.
The trade group represents seven health plans, including Blue Cross/Blue Shield and Medica.