Health Insurance Blog

Blue Cross and Blue Shield of Arizona (BCBSAZ) has annouced that they are extending their discounts for early enrollment discounts for their portfolio of Medicare Supplement Plans.

BCBSAZ’s discount program extensions increase the duration of the Medicare Supplement discounts from 5 to 10 years and raises the eligibilty age from 65 1/2 to 67 years old.  For example:

If an eligible senior enrolls in a BCBSAZ Medicare Supplement Plan at age 65 they will receive a 32% discount on the first year of premiums, a 28.8% discount on the first year of premiums for enrollment at age 66, and a 25.6% discount applicable to the first year of premiums for enrollment at age 67.

In addition, the discount amount decreases by 3.2% each year until the person reaches age 75 so long as the person is continuously enrolled in the plan.

The savings calculations are a bit confusing, but the net-net of it is,  seniors tend to stay with their health plans for a long period of time, so BCBSAZ is offering an innovative incentive to get them enrolled in their Medicare Supplement plans from the beginning of Medicare eligibility.

Jill Brown, the Managing editor of AIS Health.com, wrote a report about how Blue Cross Blue Shield (BCBS) member health insurance plans have been launching new individual health insurance products that are in line with new state mandates that are designed to make individual health insurance more affordable.  The underlying theme is that the weak economy has and will continue to spur sales of individual health plans, as many people lose employer-sponsored health coverage.

Specific examples of BCBS plans launching new health plans or making adjustments to  existing health plans include:

1. Blue Cross Blue Shield of Arizona who recently launched (Sept.) a suite of 5 new individual health plans with premiums as much as 40% lower than their existing individual health insurance offerings, while still offering up to $5 million in lifetime benefits.
2. Wellpoint is expanding their affordable “SmartSense” line of indivudual health insurance plans to Colorado in November, and they plan to add even more states over the next few quarters.  The SmartSense product line was piloted in California and Georgia and now makes up more than 50% of individual health insurance sales in California.
3. Horizon BCBS of New Jersey is making adjustments to their individual health plan pricing by taking advantage of a new law that allows them to use a applicants age in their rate calculations which should make the plans more affordable for younger individuals.

As alluded to in this report, many health insurance carriers accross the country, not just BCBS member health plans, will be offering new health plans for individuals, and making their health insurance rates more affordable.  It is a great time to compare rates and see what is available in your state.

Last week, Blue Cross and Blue Shield of Arizona (BCBSAZ) announced the launch of 5 new Arizona individual health insurance plans .  The new plans deliver a wide range of co-insurance and deductible levels and can save customers as much as 40% from previous health insurance options.

The new individual health insurance plans offered by BCBSAZ are:

BlueOptimum - A PPO that features co-pays for many services and the broadest level of health coverage among the new plans introduced last week.

BlueValue - A PPO that features a mix of co-pay and co-insurance with lower monthly premiums than Blue Optimum.

BlueEssential - An ultra affordable PPO with basic coverage and a $1,000 cap on preventive care.

BluePortfolio - A high deductible health plan (PPO) that can be paired with a Health Savings Account (HSA).

BlueSecure and BlueSecure Plus -HMO plans.