BOISE, Idaho – Regence BlueShield of Idaho paid $309 million in medical care for its fully insured members in 2020, or $1,919 per member, according to unaudited figures filed today with the Idaho Department of Insurance.
Regence spent more than 80 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. During a historically challenging year, Regence continued to grow and ended 2020 serving more than 247,000 people, including self-funded and BlueCard® members.
On total revenue of $385 million, Regence had a net gain of 4.9 percent, equal to around five cents per premium dollar. For comparison, Regence’s annual net gain over the past 10 years has averaged 2.9 percent. 2020 performance was driven by positive investment returns and cost stewardship programs, and a temporary decline in claims experienced during the pandemic. Regence voluntarily issued $2.9 million in premium credits to fully insured customers and members across the state in response to reduced care during the first months of the pandemic. Regence and its affiliated plans paid $110 million for COVID-19 tests and treatment in 2020 (including $50 million for fully insured claims) at no out-of-pocket costs to members across their four-state footprint.
Net income is placed in the company’s capital reserves to ensure stable health care coverage. These 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 investments, cyber defense, and paying for higher than expected medical costs.
“As a tax-paying nonprofit committed to serving Idahoans, our steadfast focus on our members and financial stability enabled us to quickly evolve in how we support our members, business partners and communities through the pandemic,” said Sean Robbins, president of Regence BlueShield of Idaho. “Our strong financial results and commitment to our community demonstrate our ability to sustain that support and help power the future of health care in Idaho, just as we’ve done for 75 years.”
Regence incurred $17.6 million in federal and state income taxes and fees in 2020.
Founded in 1946 in north-central Idaho, Regence and its affiliates employ more than 600 people in Boise, Lewiston, Pocatello and Coeur d’Alene, driving more than $68 million in annual economic activity throughout the state, according to ECONorthwest. Additionally, Regence, together with its corporate foundation and employees, contributed more than $2.1 million to benefit 112 different nonprofit organizations in 2020.
About Regence BlueShield of Idaho
Regence BlueShield of Idaho, based in Lewiston, has been serving Idahoans for more than seven decades and now provides more than 257,000 people with comprehensive health insurance solutions. As a nonprofit mutual insurance company and 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 in Idaho and nationwide experience health care. For more information, please visit regence.com, facebook.com/regenceblueshieldofidaho or twitter.com/regenceidaho.