CALIFORNIA IN BRIEF : CALIFORNIA : Firm Cancels Small Group Plan Policies
From Times Staff and Wire Reports
Great Republic Insurance Co. announced that it is canceling health insurance policies sold as small group plans that serve 10,000 of its 60,000 California customers. Company Vice President James O’Hanlon said in Seattle that the decision followed discussions with California insurance regulators who indicated that the company had inadequate surplus reserves to support the amount of premiums it was collecting from its policyholders. Those canceled can either obtain insurance with another company or, under the law, buy a conversion policy that offers fewer benefits at higher premiums.
