BCBSTX Providing Premium Credits to Fully Insured Customers

October 8, 2020

News alerts will be sent to employers today about the program. We are also notifying employers either directly through their account representative or via email.

Blue Cross and Blue Shield of Texas (BCBSTX) has announced premium credits to eligible, existing fully insured customers. This means we’re providing about $104 million to fully insured employer customers to further support them during the COVID-19 pandemic.

We’re providing two different credits on your clients’ November Customer Statement that reflect a percentage of their October premium, based on their benefit plan coverage and contract size:

  • 15% of their medical premium for all fully insured group segments, regardless of size
  • 50% of their dental premium only for those fully insured customers who have 51+ active dental contracts and offer BlueCare DentalSM coverage through BCBSTX

The company has obtained all necessary approvals.

Why are we providing the premium credit?
We've worked closely with our customers during the pandemic to understand the economic and health challenges they, their employees and our communities face.

Every decision we've made is through the lens of a long-term commitment to our members and our communities, with the goal to support our customers and members, just as we always have.

Does the program include all medical funding types?
No. ASO, MPP and Blue Balance FundedSM funding types are excluded. Employers that pay claims are excluded since most ASO/Cost+/MPP groups have realized some relief via suppressed claim utilization (and cost) in recent months.

Which medical funding types are included?
ACA Small Group, non-ACA Small Group (grandmothered and grandfathered), fully insured Mid-Market, fully insured Large Group, MEWA and association health plans are included in the premium credit program.

Does this include dental?
Yes. BlueCare Dental is included. If your fully insured group has BlueCare Dental coverage through us and has 51+ active BlueCare Dental contracts, they will see a 50% credit calculated from their October dental premium on the November Customer Statement.

Will new groups effective Nov. 1 be eligible for the COVID Relief Premium Credit?
No, eligibility is based on the premium billed for October.

Do my customers need to do anything to take advantage of this program?
No. Eligible customers will see the medical and/or dental premium credit reflected in their November statement as a line item called COVID Relief Premium Credit.

Will the credits impact producer commissions in 2020 and 2021?
This program will not affect producer commissions in 2020 and 2021.

The premium credits are the latest relief action our company has taken in response to the global health crisis.

If you have questions about the premium credits, please contact your account representative.