Consumers’ Choice Health Insurance Co. has announced that it will no longer offer health insurance coverage as of Jan. 1, 2016.
“This was a difficult decision for the insurer and this agency, but this is what is in the best interests of South Carolina consumers and healthcare providers,” Ray Farmer, director of the South Carolina Department of Insurance, said.
Jerry Burgess, president and CEO of Consumer's Choice, agreed.
“The recent announcement of a risk corridor reimbursement of just 12.6 percent cast doubt on the collectability of tens of millions of dollars through the federal risk corridor program and led to an unavoidable outcome,” he said.
Consumers’ Choice will not offer plans for 2016, and any policies that became effective in 2015 will terminate at the end of this year. This means the company's customers -- about 67,000 individuals and small businesses -- will have to find new coverage.
"The South Carolina Department of Insurance will do everything it can to assist South Carolinians through this process,” Farmer said.
Consumers should enroll in replacement coverage by Dec. 15, 2015, to have insurance by Jan. 1, 2016. The Federal Healthcare Marketplace can be reached at 800-318-2596. Plans for 2016 can also be reviewed at www.healthcare.gov.
CCHP coverage questions can be directed to 800-580-8736.