Premera Blue Cross has announced it will no longer offer Medicare Advantage plans beginning January 1, 2025. The decision marks a major change for the health plan provider, impacting thousands of members across Washington. The company says rising financial pressures and market shifts played a key role in the move.
A Difficult Goodbye for 32,000 Members
With nearly 32,000 Medicare Advantage members in 14 counties, Premera’s departure from this market is significant, though it’s only a small part of their larger 2.75 million member base. However, Premera is not leaving seniors high and dry. They’ll continue offering Medicare Supplement plans, which currently serve over 58,000 members in Washington and Alaska. So while their Medicare Advantage plans are being phased out, their commitment to senior care remains intact.
Premera’s CEO, Jeffrey Roe, acknowledged the tough nature of this decision. “It wasn’t easy. We’re the only local commercial health plan in Washington, and serving this community is in our DNA. But the financial realities made it clear that continuing our Medicare Advantage program wasn’t viable long-term,” he explained. Despite this shift, Roe reassured members that they will receive uninterrupted service through the end of 2024.
Why the Change?
Premera is pivoting its focus to other lines of business that are experiencing growth. This includes employer-sponsored health plans, Medicare Supplement plans, and plans under the Affordable Care Act (ACA). The company sees more opportunity to invest in affordable healthcare solutions by redirecting resources here.
What Should Medicare Advantage Members Do?
If you’re currently enrolled in a Premera Medicare Advantage plan, don’t panic. Premera will be supporting its members throughout 2024, and local insurance brokers are on hand to help you explore other coverage options for 2025. The Medicare Annual Enrollment Period kicks off in mid-October and runs through early December, giving you time to find a new plan.
For more information on this transition, or to learn about alternative coverage options, visit Premera’s website.
Related Coverage
- Blue Cross and Blue Shield of Texas Expands its Medicare Advantage Offerings
- Blue Shield of California Equips Seniors for 2024 Health Coverage
- Open Enrollment Deadline Approaching Soon
For more reporting on this topic, see our Blue Cross Blue Shield news hub.