First Iowa - Nebraska Co-op Health Insurance Company Announced
To: Members and selected others
From: Paul
Recently Iowa's first non-profit co-op health insurance company was announced. Its leadership team includes David Lyons, a former state insurance commissioner, and Cliff Gold, who retired as a top executive at Wellmark. Health Partners, a Minnesota company, will provide administrative services and the Midlands Choice provider network will be used.
This new initiative will receive up to $113 million in federal loans to pay for startup costs and provide initial financial backing under the federal Patient Protection and Affordable Care Act. It was one of seven such proposals that recently received federal approval.
The co-op, tentatively named Midwest Members Health Inc., will sell policies in Nebraska and Iowa. The organization will be owned by its members and led by a board they elect. It will target individual consumers and small businesses buying policies via a new health insurance exchange, an electronic marketplace designed to allow people to compare and purchase insurance starting in 2014. The new co-op has a goal of 50,000 to 80,000 members by 2017.
According to HPCI's Chartbook, there are six (6) health insurance companies with midsize to significant market share currently serving the individual market in Iowa and six (6) doing so for the small group market. Also, numerous other health insurance companies with smaller market shares offer health plans in Iowa.
See attached for more information or contact the HPCI office.
Paul M. Pietzsch, MPH
HPCI - IHBA Office
4430 Ashley Park Drive
West Des Moines, Iowa 50265
(515) 778-6300