PORTLAND, Ore. – Regence BlueCross BlueShield of Oregon paid $2.17 billion in medical care for its fully insured members in 2021, or $4,639 per member, according to unaudited figures filed today with the Oregon Division of Financial Regulation.
Regence spent 87 cents of every premium dollar received from members for doctor visits, hospital care, medications, COVID-19 tests and treatment, and other health care goods and services for its members. Amidst the ongoing challenges of the pandemic, Regence continued to grow and ended 2021 serving more than 971,000 people, including self-funded and BlueCard® members.
On total revenue of $2.49 billion, Regence had a net gain of 2.8 percent, equal to about 3 cents per premium dollar. For comparison, Regence’s annual net gain over the past 10 years has averaged 2.5 percent. 2021 performance was driven by positive investment returns, strong member retention and enrollment growth. Regence paid $137 million for COVID-19 tests and treatment in 2021 (including $73 million for fully insured claims) at no out-of-pocket costs to members across Oregon.
Net income is placed in the company’s capital reserves to ensure stable health care coverage so Regence can continue to pay member claims. As a taxpaying nonprofit, this critical safety net is Regence’s only source of funds for investments, cyber defense, and paying for higher than expected medical costs.
“Amidst the challenges of the pandemic, Regence continues to prioritize safely connecting our members to high quality and affordable care, backed by a strong and stable health plan,” said Angela Dowling, president of Regence BlueCross BlueShield of Oregon. “Nearly a million Oregonians count on us to be there for them in good times and bad. Our financial stability enables us to achieve this mission on their behalf and invest in communities across Oregon so we can emerge stronger and healthier together.”
Regence incurred $80.4 million in federal and state income taxes and fees in 2021.
Founded in 1941, Regence and its affiliated companies employ nearly 2,300 people across Oregon, driving nearly $850 million in annual economic activity throughout the state, according to ECONorthwest. Additionally, Regence, together with its corporate foundation and employees, contributed almost $3.4 million to benefit Oregon nonprofit organizations in 2021.
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 taxpaying 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.