For its analysis, Sherlock Co. examined surveys of 14 Blue licensees serving 37 million members. Plans surveyed comprise 52 percent of BCBS plan members not served by publicly traded companies.
In 2018, administrative costs grew by 5.5 percent per member for the health plans. That’s compared to an increase of 5.1 percent for 2017. Growth in information systems was “the single most important reason for administrative expense increase in 2018,” according to the report.
BCBS plans also saw their staffing ratios increase by 6.8 percent, especially in the information systems business. About 19 full-time employees serve every 10,000 members in BCBS’ commercial products, according to the report.
Read more here.
More articles on payers:
Henry Ford Health’s insurer buys 9,000-member Medicaid plan
UnitedHealth, private equity firm likely buyers in $1.6B Magellan deal
Healthcare-sharing ministries’ revenue, members — and complaints — surge
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.