Politico Looks to Joel Ario on Insurers Preparing for Health Exchanges
"Displeased Insurers Start Selling Obamacare"
Politico
May 5, 2013 - Politico looked to Manatt's Joel Ario, a managing director with Manatt Health Solutions, for insight into how the insurance industry is getting ready to start selling health insurance when the online exchanges open for enrollment on October 1, 2013.
As reported by Politico, health insurers are planning campaigns for the summer and fall to encourage the public to sign up for plans under the health reform law. The industry has a great financial stake in the rollout of the new online markets, as it could mean millions of new customers for health plans. However, if only the sick sign up, the insurers could be left with big health bills.
Politico reports that many insurers were reluctant to discuss their plans, therefore underscoring the fact that while all insurers want the exchange pools to be healthy, it's still a competitive business.
Ario said he expects insurers to be aggressive, in part because of what's known in the business as "stickiness" - the idea that people tend to stick with the same insurer year in and year out.
"Once somebody chooses an insurer, it's not that easy to move the business," Ario said. "That encourages the insurers to be in there from the get-go."
Read the article here.