Blue Cross Blue Shield Insurers Kept Hiking Premiums Even After Exceeding Recommended Surplus

Blue Cross Blue Shield Insurers Kept Hiking Premiums Even After Exceeding Recommended Surplus

Insurers have to maintain a safety net of money to protect themselves from unforeseen market conditions, but a new study from Consumers Union says that some Blue Cross Blue Shield insurers took it too far, preferring to focus exclusively on stockpiling cash at the expense of customers. Two of the worst cases have stockpiles 5 to 7 times higher than state solvency requirements, yet continue to hike premiums each year instead of using the, uh, surplus surplus to offset customer costs. [More]