Champaign, Ill.-based Health Alliance and Southern Pines, N.C.-based FirstCarolinaCare will no longer offer any insurance plans past 2025, with the exception of Medicare Advantage.
The organizations cited medical inflation, rising prescription drug costs, increased utilization, higher volumes of chronic conditions, and an increased demand for technology and broad networks as the reasons for scaling down their businesses.
“In recent years, the health insurance industry has changed dramatically, particularly for provider-owned insurers,” the companies said in a Feb. 25 news release. “Because of this, health plans, like Health Alliance and FirstCarolinaCare have struggled to achieve operational and financial efficiency.”…