The Texas Department of Insurance has placed Friday Health Plans under receivership after the health insurance company declared insolvency.
The Lone Star States insurance commissioner has seized the Friday Health Plans’ assets and is charged with liquidating its local property, technology, bank accounts and other valuables to pay outstanding claims, according to a liquidation order issued Thursday.
Creditors are barred from recouping money Friday Health owes them, and the insurer must stop selling policies in Texas, the order says. Friday Health’s board of directors declared the Texas subsidiary insolvent on March 14, according to the insurance department.
Friday Health’s Texas division ended the year with a $244.4 million shortfall, …
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