Inter Valley Health Plan ends operations after 43 years in Pomona [Inland Valley Daily Bulletin, Calif.] – InsuranceNewsNet

November 7—After serving the interior region for 43 years, Inter valley health plan will close at the end of the year due to declining enrollment.

Nonprofit health insurance provider Medicare Advantage has found it “difficult to compete in today’s environment with companies whose benefits and marketing budgets are supported by millions of enrollees,” the CEO said. Michael Nelson said in a statement.

With its listings dropping, the plan had become “a minnow in a sea of ​​whales,” Nelson continued.

Nelson did not discuss current membership numbers, but in his statement he noted that the IVHP had 50,000 commercial members and 25,000 senior members at its peak of membership in the late 1980s.

The decision to end operations, announced in October, was not easy, health plan officials said. The IVHP Board of Directors has reviewed, with the assistance of a national consultancy, all viable options moving forward.

“Ultimately, the company decided that an orderly winding down of operations would be necessary and prudent,” Nelson said.

In a separate message to members, Nelson said that when it came time for IVHP to renew its contract with Medicare, “it became clear that in today’s highly competitive Medicare environment, we would not be able to continue to provide the high level of benefits that you, our members, deserve.”

Current members are invited through Medicare’s annual open enrollment period to choose a new insurance plan for 2023.

However, services will continue as normal until December. Patients insured by the IVHP who seek treatment at Pomona Valley Hospital Medical Center can still do so by registering with SCAN or United HealthcareNelson said.

IVHP’s service area includes Los Angeles, Saint Bernardine, Riverside and Orange counties. However, the IVHP has long been a recognizable organization in the inner valleynotably in Pomona, where its headquarters are located 300 Park Avenue S.

About 25 IVHP employees will transition to PVHMC, primarily focused on patient services, planning and clinical integration, Nelson said in an email. Friday, November 4. About 115 workers are located at its Pomona headquarters, according to the IVHP website.

The IVHP was formed in 1979 by a small group of Pomona Valley Hospital doctors and administrators who saw a “need for a strong community health plan in the Inland Empire,” according to the website. of the company.

“In our 43-year history, this is without a doubt the most difficult and heartbreaking news we have had to share,” Nelson said. “Thank you for entrusting us with your health care.”

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