As another major health insurance company exits the vast majority of Obamacare exchanges and many U.S. states are forecasting massive premium increases later this year, a leading health care expert says the Obamacare death spiral is already beginning.
Late Monday, Aetna announced it was pulling out of Obamacare exchanges in all but four U.S. states as a result of large financial losses. The company reported $200 million in pre-tax losses in the second quarter of 2016 alone.
“As a strong supporter of public exchanges as a means to meet the needs of the uninsured, we regret having to make this decision,” said Aetna CEO Mark Bertolini in a written statement.
Galen Institute President Grace-Marie Turner told WND and Radio America Aetna’s decision to largely abandon the exchanges is a huge development.
“Aetna was all-in in not only trying to get the law passed but also to try to make this work,” she said. “So with Aetna throwing in the towel, I think it really shows the way this law is structured, and particularly the way it’s been implemented, just does not work.”
Read More: ‘We are in the death spiral’