Humana to cut $100M from health insurance coverage
By Alex SpeierPublished Feb 07, 2018 12:37:53Hospitality and health insurance giant Humana is laying off at least 200 employees amid a wave of bad publicity about its high-cost health care policies.
The Los Angeles-based company announced Tuesday that it is slashing its workforce by 10 percent to about 3,200 employees and is shifting the bulk of its health care costs to consumers.
The announcement came after a federal judge ruled that Humana failed to adequately disclose that its high deductibles are a result of the company’s health care plans.
That means Humana’s high-deductible health plans are a financial burden for the company and consumers, as they cost consumers more than $2,400 per year per employee, according to a lawsuit filed by the U.S. Department of Labor.
The company has also been hit by a wave, which has seen its stock plummet, including in some markets, by as much as 12 percent.