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Weekly News Wire | October 31, 2011

Optima Health Exits Medicare Advantage Market

Share Virginia-based health plan Optima Health informed brokers in September that it intended to discontinue its Medicare Advantage plans as of December 31, 2011. Optima notified the 14,000 people currently enrolled in the plans about their transition options in letters sent on September 19. Optima Health is the insurance division of non-profit Sentara Healthcare, a health care system serving Virginia and North Carolina. In the announcement, Optima cited both inadequate federal funding and pending reimbursement cuts due to changes to Medicare policies as factors in the decision. Over the past two years, Optima Health has posted losses . . .

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