UnitedHealth Group, the largest U.S. health insurer, has announced it will be exiting two state Obamacare markets, the Washington Post reported.
"The insurer won’t sell plans for next year in Georgia and Arkansas, according to state insurance regulators," the article states. "Tyler Mason, a UnitedHealth spokesman confirmed the exits and declined to say whether the company would drop out of additional states."
Other insurers such as Aetna and Blue Cross and Blue Shield have also posted losses from these policies.
"Many insurers have found it difficult to turn a profit in the new markets created by the Affordable Care Act, under which individuals turned out to be more costly to care for than the companies expected," the article explains.
According to UnitedHealth, exiting these state exchanges could help the company to increase its profits next year.
"The ACA relies on private health-insurance companies to offer policies that individuals can buy in government-run markets," states the article. "About 58 percent of consumers had fewer options in 2016 than the year before, while 31 percent had more choices, according to consulting firm McKinsey & Co."