Blue Cross and Blue Shield of Louisiana and its subsidiaries spent $72 million more on their customers’ health care in 2011 than federal health-care reform requires, company officials reported.
The Patient Protection and Affordable Care Act requires that insurers meet spending requirements, or else pay rebates to customers. Because Blue Cross spent a high percentage of customers’ premiums on their health care and a low percentage on administrative costs, it is not required to issue rebates to its customers in 2012.
Other insurers nationally are being required to provide rebates to customers and employers.
“We work every day to give Louisiana access to high quality health care that’s affordable,” said Mike Reitz, president and CEO of Blue Cross and Blue Shield of Louisiana. “For our customers, a big part of that service is maximizing each dollar they pay in premiums.”