Vermont health insurers made “excess profits” in 2020 as a result of the pandemic as non-essential medical and surgical procedures were postponed, but could lose money this year if patients return to hospitals, according to a Department of Financial Regulation report.
The report focused on the financial performance of BlueCross BlueShield of Vermont, the MVP Health Group, the Vermont Education Health Initiative and Cigna during the pandemic.
“The pandemic has severely affected our daily lives, including preventing Vermonters from intermittently receiving unnecessary medical care while they continued to pay their health insurance premiums,” DFR Commissioner Michael Pieciak said in a press release.
Pieciak said it was important to make sure Vermonters don’t overpay for health insurance during the pandemic. He said the DFR found in most cases this was not the case, but where they did they would receive “premium relief”.
Money back to policyholders
Cigna has already repaid approximately $ 118,000 to its eligible large group policyholders, and Pieciak said his division will require BlueCross BlueShield Vermont to provide approximately $ 2.1 million in “consumer relief” in the upcoming Medicare supplement filing for To be included in 2022.
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The DFR plans to review other Medicare supplement requests for 2022 and the upcoming Vermont Education Health Initiative tariff proposal to see if additional COVID-19-related tariff relief is warranted.
According to the DFR report, the pandemic also had “favorable financial effects” on other insurance providers, which justified a reduction in premiums.
DFR previously approved a $ 24 million premium relief for Vermont auto insurance policyholders due to significant driving bans during the pandemic and $ 3.2 million for dental insurance policyholders due to pandemic restrictions on routine dental care.
Contact Dan D’Ambrosio at 660-1841 or email@example.com. Follow him on Twitter @DanDambrosioVT. This reporting is only possible with the support of our readers.