Commissioner Mulready Places Friday Health Plans of Oklahoma in Receivership

Commissioner Mulready Places Friday Health Plans of Oklahoma in Receivership

OKLAHOMA CITY – Insurance Commissioner Glen Mulready announced today that Friday Health Plans of Oklahoma, Inc. (FHP-OK) has been placed into receivership due to the declared insolvency of the company.

“Our number one priority is consumer protection,” Insurance Commissioner Glen Mulready said. “Given the company’s financial situation, I determined this strong approach was a necessary step to protect policyholders. Through this receivership, we can take control of the company and determine the best path forward for its Oklahoma members.”

FHP-OK was placed into administrative supervision by Commissioner Mulready on April 4, 2023, while the company made reasonable attempts to increase its capital surplus. During this period of supervision, the Oklahoma Insurance Department (OID) closely monitored the company and determined that continued operation of FHP-OK was not possible.

Placing FHP-OK into receivership allows Commissioner Mulready to take over the day-to-day management of the company’s operations as well as thoroughly examine the finances of the company. Members’ policies will remain in effect for now, and members must continue to pay their premiums to ensure continued coverage.

FHP-OK policies will no longer be effective after August 31, 2023. To ensure FHP-OK members have an opportunity to replace their current policy before it is terminated on August 31, 2023, the OID is coordinating with the Center for Consumer Information and Insurance Oversight (CCIIO) to implement a special enrollment period. This special enrollment period will allow FHP-OK members to select a new plan. However, members will need to act quickly to prevent a gap in coverage.

The special enrollment period will start on July 2, 2023 and ends on October 30, 2023. If you purchased health insurance from FHP-OK through the Health Insurance Marketplace® you must select a new Marketplace plan by August 31, 2023, to avoid a gap in health insurance coverage. OID has set up a website to assist impacted members with the process of selecting a new exchange health insurance plan.

Below are IMPORTANT DATES to keep in mind:

Finally, providers should continue to service all FHP-OK members and should not demand payment other than the proper cost share associated with the medical service provided and relevant health plan.

FHP-OK is a subsidiary of the Friday Health group. The Friday Health group is Colorado-based and provides health coverage to individuals and families in several states. The company was founded in 2015 and had been operating the FHP-OK HMO since 2021. FHP-OK has approximately 8,200 policyholders in Oklahoma.

Several states, including Oklahoma, are placing the subsidiaries into receivership, a proceeding at the District Court where a third-party is appointed to take control of the company’s assets, finances, and operations and manage the company under the general supervision of the Court.