Two days before the start of Obamacare’s open enrollment period, a nonprofit health insurance provider located in Arizona announced that it would be closing its doors, leaving more than 56,000 consumers to purchase new insurance plans.
On Friday, the Arizona Department of Insurance announced that Meritus Health Partners is winding down its operations and will no longer offer coverage in 2016. Meritus Health Partners is the 11th of 23 co-ops, or consumer-operated and oriented plans, created under Obamacare to shut its doors. The co-ops have received a combined $2.4 billion from the federal government.
Consumers currently insured by Meritus will remain covered for the rest of the year.
“[W]ith open enrollment beginning this weekend and many Meritus policyholders subject to re-enrollment, it was vital that the department step in and protect Arizona citizens,” Andy Tobin, the state director of insurance, said in a statement.