SEATTLE – According to unaudited figures filed March 1 with the Washington Office of the Insurance Commissioner, Regence BlueShield’s 483,271 fully insured members had medical claims totaling $1.78 billion in 2012, or $3,135 per member. Regence paid 82.7 cents of every premium dollar to pay those claims.
On a gross income of $2.15 billion, Regence had a net gain of 1.4 percent. After paying claims, administrative costs and taxes, the net income of $29.9 million is placed in the company’s capital reserves. As a nonprofit, this is the health plan’s only source of funds for improvement, investment or payment of unforeseen medical costs.
“Our performance reflects our strong nonprofit values and commitment to long-term financial stability,” said Jonathan Hensley, Regence BlueShield president. “This stability is especially important to our members as we look to fuller implementation of the health care reform law in 2014.”
Although Regence is a nonprofit insurer, it is required to pay federal and state taxes and assessments, which totaled $55.4 million; that includes $37.4 million in state premium tax and $12.3 million to the Washington State Health Insurance Pool.
Community impact. Regence employs more than 1,700 people in Seattle, Tacoma, Everett, Burlington and Spokane, driving more than $400 million in economic activity throughout the state each year, according to ECONorthwest.
About Regence BlueShield
Regence BlueShield is a leading health plan in Washington with nearly one million members, offering health, life and dental insurance. Regence BlueShield 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 BlueCross BlueShield of Utah. 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 or www.twitter.com/RegenceWA.