January 23, 2019
Blue Cross Blue Shield affiliated insurers account for approximately 48% of the Commercial health insurance segment and just over 40% of total health enrollment countrywide. In the health insurance industry, market share does not always lead to profitability and financial stability. For this brief, Mark Farrah Associates (MFA) assessed the profitability of Blue Cross Blue Shield (BCBS) plans, comparing year-over-year performance as of September 30, 2018.
Based on data from the National Association of Insurance Commissioners (NAIC) and the California Department of Managed Health Care (CA DMHC) statutory reporting, BCBS plans with over $10 million in revenue at third quarter 2018 include Anthem, Health Care Service Corp. (HCSC), Blue Shield of CA, BCBS of Michigan Group, Guidewell Mutual Holding Group, Independence Blue Cross (IBX), and Highmark. These industry leaders reported positive, and in most cases, improved profitability between 3Q17 and 3Q18.
Although this analysis shows mostly improved profitability for leading Blue Cross Blue Shield affiliated insurers, annual financial results will not be available until this spring. Blue Cross Blue Shield plans continue to be health insurance leaders. According to MFA’s Health Coverage Portal™, as of September 30, 2018, BCBS membership comprised 48% of total U.S. commercial enrollment, or nearly 93 million members. Mark Farrah Associates will continue to report on important BCBS plan performance and provide valuable insights on the health insurance industry.
About Mark Farrah Associates (MFA)
Mark Farrah Associates (MFA) is a leading data aggregator and publisher providing health plan market data and analysis tools for the healthcare industry. Our product portfolio includes Health Coverage Portal™, County Health Coverage™, Medicare Business Online™, Medicare Benefits Analyzer™, and Health Plans USA™. For more information about these products, refer to the informational videos and brochures available under the Our Products section of the website or call 724-338-4100.
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