Wellmark BCBS to withdraw from exchange market in Iowa in 2018

The decision to no longer sell ACA plans affects 21,400 -- or 1.3 percent -- of the state's 1.6 million Wellmark beneficiaries.

After losing $90 million in the Iowa exchange market over the past three years, Wellmark Blue Cross and Blue Shield will no longer sell Affordable Care Act plans in the state starting in 2018, the company announced Monday.

Premiums have risen by double digits over the past three years, Wellmark said.

Wellmark BCBS makes the decision as numerous insurers are also weighing whether the ACA market is stable enough to submit premium rates for 2018 this spring. 

[Also: Humana to exit exchange business in 2018]

Humana and Aetna are two major insurers which have already left all or parts of the market. Anthem is reportedly considering the move.

"Finding solutions to stabilize this market is in the best interest of all Iowans, including providers of healthcare and insurance carriers," said Wellmark Chairman and CEO John Forsyth. "No one really benefits from rising costs. While there are many potential solutions, the timing and relative impact of those solutions is currently unclear. This makes it difficult to establish plans for 2018."

Wellmark will no longer sell or renew individual and family ACA plans effective Jan. 1, 2018.

The decision affects 21,400 -- or 1.3 percent -- of the state's 1.6 million Wellmark beneficiaries. Members who currently have an individual or family ACA plan will continue to have coverage through Dec. 31, 2017.

[Also: GOP pulls healthcare bill after signs pointed to embarrassing defeat]

Those who purchased their individual or family health plans pre-ACA,  prior to Jan. 1, 2014, are grandfathered for coverage. The change also does not affect members with plans through their employer, including those with small group ACA plans, or those with Medicare supplement plans.

"We look forward to working with state and federal legislators to determine the best path forward to ensure Iowans have access to high-quality health care," Forsyth said.

Twitter: @SusanJMorse