BCBS of Massachusetts blames federal taxes for $97.2M operating loss

Blue Cross Blue Shield of Massachusetts, the state’s largest health insurer with 2.8 million enrollees, said its first quarter operating loss stemmed from the ACA’s insurer fee and federal tax reform.

Advertisement

BCBS of Massachusetts posted a $97.2 million operating loss in the first quarter of 2018. Andreana Santangelo, the insurer’s CFO, said the results met expectations: “They reflect a highly competitive marketplace, reinforcing the need for us to continue to effectively manage both administrative and medical spending while continuing to offer exceptional, affordable health plans to our employer customers and members.”

BCBS of Massachusetts generated net income of $57.5 million on revenue of $2 billion in the first quarter of this year. BCBS of Massachusetts also recorded $12.2 million in investment income during the first quarter.

More articles on payer issues:
CEO of health insurance startup Oscar: Expansions on the way
Hedge funds invest in US health insurers despite Amazon, JPMorgan, Berkshire threat
UnitedHealthcare denied a dying mother’s liver transplant, until she penned a letter to the CEO

At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.

Download Whitepaper

The cost-saving opportunity most health systems overlook

Many hospitals and health systems scrutinize staffing, service lines, and payer contracts for savings. Fewer look at one of their largest assets: real estate.…

Advertisement

Next Up in Capital

Advertisement

Comments are closed.