Wednesday, November 6, 2019

Blues Plans Offer ACA Coverage in Counties They Once Exited


by Jane Anderson
Blues plans, testing new ways to cope with the volatility of the Affordable Care Act (ACA) individual market, in 2020 will re-enter major counties that they'd previously abandoned.
Overall, Blues plans' participation in the individual market has remained fairly steady in the last five years, according to an analysis by the Robert Wood Johnson Foundation.
However, Blues plans in Arizona and Tennessee had abandoned major metro-area counties in recent years. Now, they're rejoining the exchanges in those areas, having adjusted their rates and their networks accordingly.
Blue Cross Blue Shield of Arizona will rejoin the exchange in Maricopa County, which has more than 4.4 million residents. The insurer will compete with four other insurers in that county, and says it will focus on enrolling residents who currently are uninsured.
BlueCross BlueShield of Tennessee, which refunded nearly $23 million to individual and small group policyholders in September for overpayments made in 2018 and lowered rates for 2019 by an average of 14.8%, will have "nominal" rate increases of 1.4% on average for 2020 compared with 2019. The Tennessee Blues plan also will rejoin the markets in Nashville and Memphis, which it exited in 2017 amid heavy losses.
In Minnesota, the state's reinsurance program debuted in 2018 with lower overall rates and is credited with steep premium declines for 2019. Blue Cross and Blue Shield of Minnesota, which offers only HMO Blue Plus plans, dropped rates by an average of nearly 28% in 2019.
This year, the Minnesota Blues plan will increase rates by about 5% while offering coverage statewide for the first time since 2016. "After years of volatility and unpredictability, the individual market has shown encouraging signs of stability," says Craig Samitt, M.D., president and CEO.

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