The state's only health insurance co-op will shut down operations on December 31, after failing to find additional financing, Meritus officials announced November 25.
Amid financial uncertainty, Meritus in Tempe, Arizona, is the latest nonprofit healthcare insurance cooperative to close.
Meritus is among 23 consumer operated and oriented plans established by the Affordable Care Act to offer affordable health insurance coverage. However, many have closed due to struggling finances. An estimated half have failed.
On October 30, 2015, the Arizona Department of Insurance placed Meritus under a supervision order.
Congressional leaders such as Senate Finance Committee Chairman Orrin Hatch, R-Utah, and Sen. Rob Portman, R-Ohio, chairman of the Permanent Subcommittee on Investigations, have said they want answers.
Meritus will not offer plans in 2016 as it winds down operations, officials said. It is working with the Arizona Department of Insurance to help members find new coverage.
Meritus will honor all policies and claims through the end of 2015. It has the financial resources on hand to pay claims and meet financial obligations, according to a statement.
Meritus covered more than 30 percent of the 154,000 Arizonans who bought policies on the federal marketplace, according to a published report.
Twitter: @SusanJMorse