Crain’s Health Pulse
February 10, 2016
CareConnect Triples Membership
With Health Republic gone, the feeding frenzy to sign up its old members was in full swing during the third enrollment period—and CareConnect benefited handsomely. The startup insurer said yesterday it had signed up 91,193 people through the end of the enrollment window on Jan. 31, more than triple its 25,567 count from a year ago. Scooping up market share in the small-group market, much of which was formerly held by Health Republic, was a major factor in that growth, said Alan Murray, CareConnect's president and chief executive, in an interview. In December alone, the insurer added 40,000 members, 32,000 of whom were small-group customers. Unlike Health Republic, CareConnect is prepared to manage the surge, Murray said. "We are more than able to handle this membership, and honestly I want more," he said. The boost also should move the nascent insurer closer to profitability. Through the first three quarters of 2015, CareConnect lost $21.4 million. More members will help CareConnect stabilize its medical-loss ratio, the portion of expenses it spends on claims and improving quality, while spreading its fixed costs across more members. "That allows me to get to profitability far quicker," Murray said. Diversification, with about 65% of its members now in small- or large-group plans, will also help CareConnect achieve stability, he added.
February 9, 2016
CareConnect Sees Strong Growth, Following Health Republic Collapse
CareConnect, the health insurance product from Northwell Health, announced Tuesday it had enrolled 91,000 members as of the end of January, a 244 percent increase from the beginning of open enrollment in November.
Small group enrollment surged 526 percent.
The insurance company — the only one on the state exchange that is owned by a private health system — benefited greatly from the demise of Health Republic Insurance of New York, which stopped insuring customers on Dec. 1.
Approximately one-fifth of Health Republic's 200,000 patients chose CareConnect, which is offered in New York City, as well as Nassau, Suffolk and Westchester.
Long Island Business News
February 10, 2016
CareConnect Health Insurer Surges to Nearly 100K Members
CareConnect, the health insurer created by Northwell Health, has increased its enrollment to nearly 100,000 amid massive growth over the past year.
The East Hills-based insurer saw a 244 percent increase in membership during the 2015-2016 open enrollment season, going from 26,567 to more than 91,000 members as of January 31.
Small group enrollment grew by 526 percent, while the insurer also grew by launching the CareConnect Northwell Health Employee Plan. CareConnect now covers about 1,500 of Northwell Health’s employees and their dependents.
CareConnect, whose own workforce has grown from 108 to 260, saw its strongest growth in Suffolk, Nassau and Westchester counties.
“We launched CareConnect because we believed that a new kind of customer-focused health insurance could actually make it easier to get and stay healthy,’ CareConnect CEO Alan Murray said. “We’re gratified to be able to bring our new approach to so many new members.”
The company has seen membership shift from 60 percent individual enrollees to about 60 percent small-group enrollees.
CareConnect over the past year added nearly 7,000 provider locations across downstate New York, growing particularly rapidly in Westchester County.