Tuesday, August 12, 2014

PPACA's Insurer "Bailouts" Could amount to 6.8% of One Oregon Insurer's Total Revenue

In many industries a 7% profit margin is considered outstanding.  Now we are seeing that PPACA's "Three-R's" risk transfer program (insurer "bailouts") could add a full 7% onto one carrier's total revenue. 

From Allison Bell at LifeHealthPro:
An actuary for Regence Blue Cross Blue Shield of Oregon says the new Patient Protection and Affordable Care Act (PPACA) reinsurance program could pay a group of the company's PPACA-compliant individual plans $20.17 per member per month in 2015, or about $242 per member per year. 
The PPACA federal reinsurance program reinsurance recoveries could amount to 6.8 percent of the plan's average monthly premium of $297, or a total of about $2.2 million for the plans' 9,124 members. ...