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Finding out what’s in it: Aetna has pulled out of its last two Obamacare exchanges, in Delaware and Nebraska.
Aetna projected more than $200 million in losses from its exchange plan businesses this year following a loss of $700 million for 2014 through 2016. The insurer attributed the losses to “marketplace structural issues, that have led to co-op failures and carrier exits, and subsequent risk pool deterioration.” Aetna said it had 964,000 individual commercial plan members as of the end of 2016, but that number dropped to 255,000 at the end of March.
Essentially, Obamacare is destroying the health insurance industry, because no insurance company can afford to offer insurance when anyone can simply wait until they are sick — “a pre-existing condition” in the politically stupid parlance of the time — before buying insurance. This also means that the Republican plan, in whatever form it will be take when it finally reaches Trump’s desk, will do nothing to save the industry either, since it appears that the Republicans are terrified of being called mean and will thus keep the requirement that insurance companies sell insurance to anyone, whether they are sick or not.