Molina exiting some ACA markets as stock price takes a dive

Molina Healthcare is pulling out of one-fifth of the counties where it sells health insurance exchange plans, the company announced Thursday.

It was the latest announcement from the health insurer, which announced earlier in the week that it will not pay agent commissions on new business on the Affordable Care Act marketplaces. The carrier will not pay commissions on new ACA business written in Florida, New Mexico, Texas, South Carolina, Illinois, Michigan, Wisconsin, Connecticut, Washington and Ohio. Molina also is reducing commissions in several other states. However, the carrier will pay agents renewals and bonuses. In addition, Molina is accepting business directly from consumers.

Molina’s stock cratered Thursday, falling more than 20% in the first hours of the trading session after the company disclosed a hefty miss on earnings per share for the third quarter due to rising medical expenses. The company also slashed its guidance for the fourth quarter.

The company saw a significant drop in its third-quarter earnings, which were negatively impacted by higher-than-expected medical costs in its ACA business.

Molina is reducing its exposure to stabilize the risk pool and is facing increased costs due to higher usage of services such as long-term supportive care, expensive prescription drugs including GLP-1s, and behavioral health services

Health insurance agents who sold Molina plans on the individual marketplace stand to lose a considerable amount of money, according to information provided to InsuranceNewsNet by Health Agents for America.

Here is the schedule of participating producer commissions Molina paid for 2025.

Compare that with the commissions and bonuses Molina said it will pay for 2026.

“To ensure the long-term stability and sustainability of our marketplace product —particularly in underserved communities — we will be adjusting our commission rates in 2026,” Molina said in a statement to agents. “While we understand that changes like these may raise questions, they are necessary to help us remain competitive and continue serving those who rely on us most.”

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Susan Rupe is editor in chief, magazine, for InsuranceNewsNet. She formerly served as communications director for an insurance agents' association and was an award-winning newspaper reporter and editor. Contact her at [email protected].