Atlas Shrugs: Obamacare Claims Its First Major Insurer Casualty | Assurant Quits Health Biz
Assurant Health unit will report about $80 million to $90 million in net operating losses.
About half of that loss is the result of a reduction in expected recoveries from the three Patient Protection and Affordable Care Act (PPACA) risk-management programs (the "insurer bailouts"), and about half reflects high claims on PPACA-required policies in force during the first quarter.
The company has decided to sell the health and benefits units because it does not believe the units can increase returns as quickly as the company requires.
Assurant has contracts in place with about 30,000 small and midsize employers.
