Health co-op failure in NY leaves doctors owed millions

Staff Writer
Columbus CEO

NEW YORK (AP) — The sudden collapse of the largest nonprofit health insurance cooperative created by President Barack Obama's health care law is causing headaches New York.

Doctors, hospitals and other medical providers are facing the likelihood that they won't get paid for care they provided this fall to patients enrolled in Health Republic Insurance of New York.

The plan has 200,000 policyholders. Regulators ordered the company to shut down at the end of the month because of financial problems.

Hospitals alone say they are owed at least $150 million by the failed plan.

Customers have until Monday to sign up with another insurer if they want to keep coverage for December.

About two dozen co-ops were created nationwide by the Affordable Care Act. Half will be out of business by the year's end.