You are here:HomeNews CenterInsurance News2009A.M. Best Withdraws Ratings on U.S. Health Insurers

A.M. Best Withdraws Ratings on U.S. Health Insurers

A.M. Best Co. has withdrawn its public data (pd) rating assignments and assigned a category NR-5 (Not Formally Followed) on U.S. health insurers including health...
August 31, 2009

A.M. Best Co. has withdrawn its public data (pd) rating assignments and assigned a category NR-5 (Not Formally Followed) on U.S. health insurers including health maintenance organizations (HMO) and Blue Cross and Blue Shield (BCBS) plans, since it is becoming more difficult to develop ratings based solely on public data.

In a statement, A.M. Best said the action "is a reflection of the evolving marketplace, whereby health insurers are entering a period with a host of challenges. The recession, the potential for health care reform and possible changes to reimbursement rates for Medicare Advantage products present an operating landscape the industry has not faced for many years. Competition, too, remains intense as insurers navigate a commercial market with limited growth prospects amid consolidation of both plan offerings and employer groups. Further, health insurance companies face an uncertain economic environment, which may result in declining enrollment and investment-related issues for the industry."

A.M. Best Withdraws Its Public Data Ratings on U.S. Health Insurers (A.M. Best 8/26/09)

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