Minuteman Health co-op to close, reopen as for-profit insurer
CONCORD, N.H. (AP) — A health insurance cooperative that covers 37,000 individuals in Massachusetts and New Hampshire is shutting down but hopes to reopen as a for-profit company in January.
Minuteman Health and other small nonprofit insurers were created by the Affordable Care Act to stimulate competition and lower prices, but most have since folded. In an announcement Friday, Minuteman blamed a provision of the law that was intended to shift money from insurers with healthier members to those with less healthy members.
Minuteman started in Massachusetts in 2014 and later expanded to New Hampshire, where it has nearly 27,000 customers. Policies will remain in effect until Jan. 1, when officials hope to transition customers to the new company.
The announcement comes as Congress is considering how to dismantle the Affordable Care Act.