Although medical costs associated with influenza are seasonal, they can marginally affect health plan medical costs, according to Brian Wright, a Stern Agee analyst.
Medicare and Medicare are viewed as the most susceptible to flu costs due to their overall membership being more at-risk to the flu, while large diversified health plans are generally less affected by flu-related medical cost irregularities, according to Mr. Wright.
Due to the timing of the medical services received to treat the flu in 2014, health plans may not begin seeing heightened flu-related costs until the first quarter of 2015.
Although flu season can negatively affect health plans, it is seen as a financially positive for hospitals. Mr. Wright says, "We view the higher flu levels as being incrementally additive to what should already be solid fundamentals for hospitals."
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