Aetna announced Monday that due to grave financial losses, it will dramatically slash its participation in public insurance marketplaces set up by the Affordable Care Act. In 2017, Aetna will only offer insurance policies in 242 counties scattered across four states—that’s a nearly 70-percent decrease from its 2016 offerings in 778 counties across 15 states.
The deep cuts have largely been seen as a blow to the sustainability of the healthcare law, which has seen other big insurers also pull out, namely UnitedHealth group and Humana. But the explanation that Aetna was forced to scale back due to heavy profit cuts doesn’t square with previous statements by the company.
