Datapoint: Cigna, Oscar to End Small Group Partnership
Cigna and startup insurer Oscar Health are shuttering their co-branded small group business. The Cigna + Oscar plans will be discontinued at the end of 2024 as Oscar focuses on the individual market, Oscar CEO Mark Bertolini said on a May 7 call with investors. “We believe ICHRA [individual coverage health reimbursement arrangements] is the solution for small group and middle market, and we believe that that will be a much bigger opportunity and we want to focus on getting that right,” Bertolini said, adding that the two companies struggled to find a long-term future for Cigna + Oscar. The products served about 61,000 members as of the first quarter of 2024. While Cigna is one of the largest commercial risk-based insurers in the U.S., the Cigna + Oscar partnership makes up the majority of its small group presence. Cigna serves just 71,601 small group members.
Source: AIS’s Directory of Health Plans
