Consumers' Choice health insurance has agreed to a voluntary runoff and will not offer coverage in 2016.
Any policies that became effective in 2015 will terminate at the end of the year, according to a news release. Approximately 67,000 individuals and small businesses will require new coverage for 2016.
Consumers' Choice decided to wind down operations because the company's financial condition could worsen significantly, the release said. It is required to submit a runoff plan to the South Carolina Department of Insurance.
"Our expectation is that the company will honor its existing commitments to policyholders and health care providers as a part of winding down its operations," said Ray Farmer, director of the Department of Insurance. "The Department has monitored the financial condition of this insurer very closely since licensure and will continue to do so until this process is complete."
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