Providence Health Plan to end most insurance offerings starting in 2027

July 31, 2026 - 01:45

Providence Health Plan has announced it will discontinue the majority of its health insurance offerings starting in 2027. The decision, confirmed by the nonprofit health system on Tuesday, will affect thousands of members across Oregon and Washington. Providence will continue to offer Medicare Advantage plans and certain fully insured group plans, but it will exit the individual and family market as well as most employer-sponsored coverage.

The move comes as Providence faces ongoing financial pressures and rising operational costs in the insurance sector. Company officials stated that the restructuring is necessary to focus on core clinical services and to improve long-term financial stability. Members currently enrolled in plans that will be discontinued will receive transition assistance, including help finding alternative coverage through the state exchanges or other insurers.

Providence Health Plan currently serves roughly 300,000 members. The phase-out will occur over the next two years, with the company ceasing sales of affected plans by late 2026. Policyholders are encouraged to review their options during the next open enrollment period. Providence emphasized that its hospitals and clinics will continue to operate normally and will remain in network with many major insurers.