PORTLAND, Ore. – Regence BlueCross BlueShield of Oregon paid $1.8 billion in medical care for its fully insured members in 2019, or $4,370 per member, according to unaudited figures filed March 2 with the Oregon Division of Financial Regulation.
Regence spent more than 86 cents of every premium dollar received from members for doctor visits, hospital care, medications and other health care goods and services for its members. As Oregon’s largest health insurer, Regence’s total membership grew to nearly 795,000 members at year end, including self-funded and BlueCard® members.
On total revenue of $2.1 billion, Regence Oregon had a net gain of 2.8 percent, equal to about 3 cents per premium dollar. This net gain was driven by responsible cost stewardship and an increase in investment income over 2018. Over the past 10 years, Regence’s net gain has averaged 2.3 percent.
Net income is placed in the company’s capital reserves to ensure stable health care coverage for its total enrollment. These capital reserves serve as a critical safety net so Regence can pay member claims. As a tax-paying nonprofit, this is Regence’s only source of funds for improvements, investments, cyber defense, and paying for higher than expected medical costs such as high-cost specialty drugs or claims during a public health crisis.
“As a tax-paying nonprofit focused on delivering a better and simpler health care experience, our 2019 performance and overall membership growth reflects our long-term financial strength and commitment to serving Oregonians today and in the future,” said Angela Dowling, president of Regence BlueCross BlueShield of Oregon.
Regence incurred $61.5 million in federal and state income taxes and fees in 2019.
Founded in 1941, Regence and its affiliated companies employ more than 3,000 people across Oregon, driving nearly $700 million in annual economic activity throughout the state, according to ECONorthwest. Regence and its Oregon employees also contributed more than $5 million to benefit 1,334 different nonprofit organizations in 2019.
About Regence BlueCross BlueShield of Oregon
Regence BlueCross BlueShield of Oregon, headquartered in Portland, has been providing health care solutions to Oregonians since 1941. As a tax-paying nonprofit independent licensee of the Blue Cross and Blue Shield Association, Regence is part of a family of companies dedicated to transforming health care by delivering innovative products and services that change the way consumers nationwide experience health care. For more information, please visit regence.com, facebook.com/regencebluecrossblueshield, or twitter.com/regenceoregon.