Friday Health Plans placed into receivership; special exchange now open

RALEIGH, NC (WWAY) — North Carolina Insurance Commissioner Mike Causey says Friday Health Plans of North Carolina Inc. (FHP-NC) has consented to being placed into receivership to protect North Carolina policyholders due to its reported insolvency and inability to raise additional funds from outside investors.

Coverage for FHP-NC’s policyholders that have health insurance through the federally facilitated exchange will end at the end of the day on August 31.

To ensure FHP-NC’s policyholders have an opportunity to replace their current exchange coverage before it is terminated, the North Carolina Department of Insurance has coordinated with the US Center for Consumer Information and Insurance Oversight to implement a special enrollment period for members to select another exchange health insurance plan.

The special enrollment period began on July 2 and end on October 30. Consumers who purchased health insurance from FHP-NC through the federal exchange must choose a new exchange health insurance plan by August 31 to avoid a gap in health insurance coverage.

Consumers that fail to choose a new plan by that date will still have until October 30 to obtain coverage but will have a gap in coverage from the date all FHP-NC plans are terminated on August 31 until the effective date of new coverage. A website to assist impacted members with the process of choosing a new exchange health insurance plan will be established with a link on the North Carolina Department of Insurance website.

FHP-NC is a subsidiary of the Friday Health Group. The Friday Health Group is Colorado-based and provides health coverage to individuals and families in multiple states. Other states have placed subsidiaries of the Friday Health Group into receivership.

Consumers seeking more information can contact the NCDOI help line at 855-408-1212 or by visiting www.ncdoi.gov.