HealthyCT earns state insurance license
HealthyCT, Connecticut’s new non-profit Consumer-Operated and Oriented Plan (CO-OP) for health insurance announced today that it has been awarded licensure from the Connecticut Insurance Department (CID). This was a vital step required for HealthyCT to offer health insurance coverage to consumers and employers in Connecticut.
“HealthyCT is deeply grateful to the staff at the Connecticut Insurance Department for their enthusiasm and effort in working with us during the application and review process so that we can now bring a new health insurance choice to consumers and businesses in the state,” said Ken Lalime, CEO of HealthyCT. “We have said all along that we wanted to offer an alternative to for-profit health insurance plans, but to do that, we had to satisfy regulatory standards and provide evidence that our business plan is sound and that we can deliver. We did, and we will.”
Approval of HealthyCT’s insurance license followed a nearly five-month review by the CID. HealthyCT acquired a contract from the federal government to operate as a CO-OP, which also provided $76 million in start-up and solvency loans in June 2012, after a thorough review process by the U.S. Department of Health and Human Services.
With the acquisition of its Connecticut insurance license, HealthyCT plans to begin offering health insurance products this fall through Access Health CT, Connecticut’s health insurance exchange, as well as through insurance brokers across the state. HealthyCT will focus on the individual, small- and mid-sized group market on and off the exchange. HealthyCT also has plans to make health insurance available to large employers. Coverage obtained through the exchange will take effect as early as January 1, 2014.
What differentiates HealthyCT from other health insurers in Connecticut is its consumer-directed focus and its non-profit status. The HealthyCT board of directors will be comprised of plan members. Additionally, as a non-profit health insurer under the CO-OP program, all profits generated by HealthyCT are to be used to stabilize or reduce premiums to consumers and businesses and/or enhance plan benefits.