CONTACT: Sharon Torgerson
Disciplined business strategy results in modest operating margin of 0.5% in second quarter
BOSTON August 15, 2012 Blue Cross Blue Shield of Massachusetts, (BCBSMA) Inc. and Blue Cross Blue Shield of Massachusetts HMO Blue, Inc. (BCBSMA HMO Blue) today announced a combined after-tax net income of $28.3 million for the period between April and June. The results reflect an operating income of $8 million and investment income of $19.9 million. BCBSMA, a taxpaying not-for-profit health plan, paid approximately $34 million in taxes and assessments in the second quarter.
"We continue to aggressively manage our administrative and medical costs and are on track to meet our business goals for the year," said Allen Maltz, Chief Financial Officer at Blue Cross Blue Shield of Massachusetts. "Our broad-based affordability efforts continue to help control health care costs while improving medical care, and are allowing us to deliver the lowest premium increases in several years."
Maltz highlighted a number of BCBSMA initiatives which are helping to control health care costs, improve care and innovate in the marketplace:
Blue Cross Blue Shield of Massachusetts (www.bluecrossma.com) is a community-focused, tax-paying, not-for-profit health plan headquartered in Boston. Celebrating our 75th anniversary in 2012, we are committed to working with others in a spirit of shared responsibility to make quality health care affordable. Consistent with our corporate promise to always put our 2.8 million members first, we are rated among the nation's best health plans for member satisfaction and quality.