Take That Blue Shield Part 2
A couple of things going on here;
First would be an update on a previous post “Take That Blue Shield”.
I blogged about the uproar and very vocal opposition to the rate hikes (up to 59%) that Blue Shield was trying to impose on their customers. That was back in February; a few days ago Blue Shield announced that they are canceling their proposed rate hike. Yay!! Great news.
Now here it gets a bit hard for me to stomach. In the article Blue Shield Rate Hike Canceled in California, chief executive Bruce Bodaken states;
“The San Francisco-based nonprofit said it lost $27 million on individual policies last year and expects more such losses this year.Members will be spared $35 million to $40 million in added premiums because of the cancelled increase, the insurer said.”By agreeing not to raise rates this year, we are helping to make coverage more affordable for our members during tough economic times. It’s a financial risk for us, but a risk that’s worth taking.”
Ahhh isn’t that sweet of this chief executive to risk a loss of 27 million dollars?
So what if Blue Shield is going to lose money, their parent company Wellpoint will profit billions by the end of this year. Which is something that this chief executive knows and is still trying to turn this into a pity party for one of the wealthiest corporations.
Too bad for you Blue Shield, you get no sympathy from me. And it just goes to show you; if you stand up to the bully – the bully backs down!
Thanks for reading!