Massachusetts officials are preparing a plan in case Commonwealth Care Alliance shuts down due to financial issues, the Boston Globe reported March 19.
Boston-based CCA has about 50,000 members and predominantly serves individuals dually eligible for Medicare and Medicaid. The company also operates care delivery programs, including primary care clinics.
According to the report, the company’s reserves are more than $216 million below solvency thresholds and the state previously froze enrollment for some of its health plans. Massachusetts also issued a request for vendors in March to take over the insurer’s care coordination responsibilities should a closure occur.
“CCA has such a long and storied history, it’s easy to think about what it was — but what it is right now is as an insurance company that’s in very deep financial trouble, and so our job is to make sure that the services continue,” Massachusetts HHS Secretary Kate Walsh said March 18, per the Globe.