Regence BlueCross BlueShield of Utah reports strong financial result for 2013
SALT LAKE CITY – Regence BlueCross BlueShield of Utah paid $948 million for the medical care of its fully insured members in 2013, or $4,085 per member, according to unaudited figures filed March 3 with the Utah Insurance Department. Regence spent 87.3 cents of every premium dollar for medical services.
“The best protection for our members is financial stability, so we can be here to pay their claims for a long time to come,” said Jennifer Danielson, president of Regence BlueCross BlueShield of Utah. “Our financial performance reflects our nonprofit values and our commitment to members.”
With gross revenue of $1.08 billion, Regence had a net gain of just under one percent (0.8%). While health care costs are growing at historically slow rates, the total dollars for medical care increased by about $108 million, above a premium increase of $86 million.
Investment returns account entirely for the company’s net income of $8.6 million, which is placed in the company’s capital reserves. As a nonprofit, this is Regence’s only source of funds for improvement, investment and paying unforeseen medical costs.
Community impact. Founded in 1948, the oldest health insurer in Utah, Regence employs more than 400 people in Utah, driving more than $127 million in economic activity throughout the state every year, according to ECONorthwest. Regence and its Utah employees contributed $974,000 to nonprofits during 2013.
About Regence BlueCross BlueShield of Utah
Regence BlueCross BlueShield of Utah is a leading health plan in Utah, with more than 460,000 members, offering health, life and dental insurance. Regence BlueCross BlueShield of Utah is a nonprofit independent licensee of the Blue Cross and Blue Shield Association, and is affiliated with Regence BlueShield of Idaho, Regence BlueCross BlueShield of Oregon and Regence BlueShield (selected counties in Washington). Together, the companies serve more than two million members in the Northwest/Intermountain Region. The Regence affiliated companies are committed to improving the health of its members and communities, and to transforming the health care system. For more information, please visit www.regence.com.