Blue Cross Parent Company Lost $1.5 Billion On Obamacare Plans
Obamacare ladies and gentleman…
Via Chicago Tribune:
Year 2 of the Affordable Care Act was another financial flop for the Chicago-based parent of Blue Cross and Blue Shield of Illinois but hints of a turnaround are emerging.
Health Care Service Corp.’s financial losses in its individual business, which includes ACA plans, worsened in 2015. The company, which owns Blue Cross affiliates in Illinois and four other states, said it lost $1.5 billion in its individual business, up from $767 million in 2014, the first year of the health law’s state exchanges for buying coverage.
In anticipation of ACA-related losses in 2015, HCSC set aside nearly $400 million in 2014 to boost reserves to $680.9 million. The company spent $657.3 million of those reserves to cover the medical expenses associated with ACA plans in 2015. More