Weekly News via Email
   Set as homepage | Add to favorites | Customer Service | Subscribe Now | Place an Ad | Contact Us | Sitemap Tuesday, 09.30.2014
Classifieds
News Archive
Su Mo Tu We Th Fr Sa
 1  2  3  4
 5  6  7  8  9  10  11
 12  13  14  15  16  17  18
 19  20  21  22  23  24  25
 26  27  28  29  30
Online Extras
Site Services
Around Bend
Outdoor Fun
Travel Info
Shop Local




Members Of



Poll: Today's Live Poll
Email to a friend | Print this | PDF version | Comments (1 posted) 
  Blogger |   del.icio.us |   digg |   newsvine

Apr 01,2009
Financial problems force Oregon withdrawal by Preferred Health Plan
by Bend Weekly News Sources

Health Insurer Will Pay Claims, Provide Coverage to Policyholders during Transition

SALEM, Ore. — Preferred Health Plan Inc., a Klamath Falls-based health insurer, will withdraw from the Oregon insurance market because of financial problems, the Oregon Department of Consumer and Business Services (DCBS) announced yesterday.

Preferred Health Plan is looking for another insurer to pick up its business. In the meantime, DCBS is monitoring the company on a daily basis to ensure it has the ability to pay claims and provide coverage to its current policyholders.

“Preferred Health Plan has been struggling for a long time, and, unfortunately, despite infusions of capital since 2004, has not been able to generate enough revenue to cover costs,” said Cory Streisinger, DCBS director. “We are working closely with the company during this transitional period to make sure policyholders continue to receive their insurance benefits and are kept apprised of the situation.”

Preferred Health Plan’s 2008 annual report – submitted in early March 2009 – showed the insurer was below the minimum requirement for capital and surplus. To make certain insurers can meet their obligations to policyholders, Oregon law requires a minimum of $2.5 million in capital and surplus; PHP had only $2.35 million in capital and surplus as of Dec. 31, 2008, and only $1.67 million as of Feb. 28, 2009.

Preferred Health Plan covers approximately 3,600 people in Klamath and Lake counties and has been in business since November 2001. Sky Lakes Medical Center in Klamath Falls is the primary investor in the stockholder-owned company. PHP primarily sells large and small group health plans but has some individual and portability policyholders.

As part of its plan to withdraw from the market, PHP will no longer solicit new business. It will renew policies through May 15, 2009, and is currently in discussions with other insurers about writing its policies that renew after May 15. Policyholders who renew after May 15 may need to find another insurer on their own.

For more information on PHP policies, click here: http://egov.oregon.gov/DCBS/docs/php_faqs_3_09.pdf.

Teresa Miller, acting administrator of the DCBS Insurance Division, said Preferred Health Plan’s financial problems are unique and not indicative of the health of the Oregon insurance industry. “Like all industries, the insurance industry is feeling the impact of the economic downturn; however, all of the other insurers doing business in Oregon have adequate capital and surplus,” Miller said. “Oregon is fortunate to have a strong and competitive insurance market, with a variety of options for consumers.”

The DCBS Insurance Division will hold a town hall meeting in Klamath Falls in April to discuss issues concerning PHP and answer questions from PHP policyholders, medical providers, or interested parties. Once a date and time is set, the information will be posted on www.insurance.oregon.gov.

For more information, contact the DCBS Insurance Division’s Consumer Advocacy Unit at 1-888-877-4894 or PHP’s Customer Service Department at 541-882-1466.
6573 times read

Related news
Oregonians to receive assistance with health premiums by Bend_Weekly_News_Sources posted on Mar 24,2009

Oregon work-related deaths up 25-percent from 2007 by Bend_Weekly_News_Sources posted on Mar 10,2009

Taking Stock: When policyholders lose, insurers win by Malcolm_Berko posted on Jun 08,2007

Task force recommends improvements in Oregon’s construction environment by Bend Weekly News Sources posted on Jan 19,2007

Money and You: The health insurance dilemma - choices for retirees under 65 by Carrie_Schwab_Pomerantz posted on Jan 11,2008

Did you enjoy this article? Rating: 5.00Rating: 5.00Rating: 5.00Rating: 5.00Rating: 5.00 (total 137 votes)

Market Information
Breaking News
Most Popular
Most Commented
Featured Columnist
Horoscope Guide
Aquarius Aquarius Libra Libra
Aries Aries Pisces Pisces
Cancer Cancer Sagittarius Sagittarius
Capricorn Capricorn Scorpio Scorpio
Gemini Gemini Taurus Taurus
Leo Leo Virgo Virgo
Local Attractions
Bend Visitors & Convention Bureau
Bend Visitors & Convention Bureau

Mt. Bachelor Resort
Mt. Bachelor Resort

Les Schwab Ampitheater
Les Schwab Ampitheater

Deschutes County Fairgrounds
Deschutes County
Fairgrounds

Tower Theatre
Tower Theatre

The High Desert Museum

Advertisements



Deschutes County

Google  
  Web    BendWeekly.com
© 2006 Bend Weekly News
A .Com Endeavors, Inc. Company.
All Rights Reserved. Terms under
which this service is provided to you.
Please read our Privacy Policy. Contact us.
Bend Weekly News & Event Guide Online
   Save the Net
Advertisement
External sites open in new window,
not endorsed by BendWeekly.com
Subscribe in NewsGator Online
Add to Google Add to MSN Add to My AOL
What are RSS headlines?