Oscar is winding down its small employer health plans with Cigna

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Os­car Health said Tues­day it plans to stop sell­ing health cov­er­age to small busi­ness­es in part­ner­ship with Cigna in 2025, as the in­sur­ance up­start dou­bles down on grow­ing its foot­print in the in­di­vid­ual in­sur­ance mar­ket.

Os­car and Cigna launched the joint plans in 2020, and they served about 61,000 mem­bers as of March 31. The plans are ex­pect­ed to gen­er­ate rev­enue be­tween $250 mil­lion and $260 mil­lion this year, but they ul­ti­mate­ly strug­gled to make mon­ey, com­pa­ny ex­ec­u­tives said Tues­day dur­ing Os­car’s first-quar­ter earn­ings call.

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