BCBSNC recorded net income of $492 million from 2019, compared to $684.6 million in the year before. That’s a $193 million, or 28.1 percent, year-over-year decline.
BCBSNC blamed the results on “record-high medical expenses” and lower premiums. The insurer had a larger customer base in 2019 — up 2.4 percent compared to 2018 — and continued to face price increases for medical tests, treatment and prescription drugs. BCBSNC’s claims expenses hit a record high of $7.3 billion in 2019, up from $6.8 billion a year prior.
At the same time, the insurer reduced premiums by an average 5.5 percent for 2020, marking its second consecutive year of price reductions in the individual market and its first statewide rate reduction.
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