Molina Healthcare ousts CEO
Dr. J. Mario Molina / Molina Healthcare
Health insurer Molina Healthcare has abruptly fired its candid CEO, Dr. J. Mario Molina, and his brother and chief financial officer, John Molina, because of the company's "disappointing financial performance," Molina Chairman Dale Wolf said Tuesday. Their dad, an emergency room doctor, started the Medicaid-based insurance company in 1980 as a network of clinics for the poor.
Why this matters: This comes out of nowhere. Molina, a major player on the Affordable Care Act's individual marketplaces, had a rough 2016 due to the ACA plans. But the company was still profitable overall. Molina has been one of the most outspoken health insurance CEOs and was particularly critical of Republican efforts to repeal and replace the ACA.