Today, we’re announcing that Oscar has decided to withdraw our services from the individual markets in Dallas–Fort Worth and New Jersey beginning January 1, 2017. We will continue to serve the New York, San Antonio, Los Angeles and Orange County markets, and we will begin serving the San Francisco market on January 1, 2017.
Three years ago, Oscar entered the insurance market in order to provide a better healthcare experience. We have grown far faster than we ever expected, to a company that insures almost 130,000 individuals today. We are proud of the products and services we offer our members— pushing the boundaries of great member services and innovating at a high clip.
As an insurer active in the individual market, however, we face the same challenging market dynamics as do other companies— some larger, some smaller. Serving our members in Dallas–Fort Worth and New Jersey has been a privilege, and we believe everyone deserves access to quality healthcare. But there are uncertainties in those two markets that will make it challenging for us to operate effectively and continue to deliver access to quality healthcare to all of our members across the country. We hope to return to these markets as we carry on with our mission to change healthcare in the U.S.
In addition to moving into the individual market in San Francisco, we are well on our way to beginning to provide small group insurance across most of our 2017 markets.
We do not reach these decisions lightly, and will do our utmost to help our members in the affected regions find coverage for 2017. We also look forward to seeing the individual market stabilize, allowing us to serve more people across the U.S. in a meaningful way, while maintaining affordable pricing for consumers.
There is no question in our minds that the elements of the individual market—where competition fuels faster innovation, a stronger focus on affordability and quality, intelligent network designs, and the ability for individuals to take charge of their healthcare—will be what all of healthcare looks like in the years to come. That is the long-term picture we work towards, as we remain prudent about where we focus in the short-term.
–Mario Schlosser, CEO and Co-Founder