Blue Cross Blue Shield of Michigan reported a net loss of $246 million on enterprise revenue of $43.3 billion in 2025, up from its $1.02 billion loss on $40.6 billion in revenue in 2024.
For 2025, the company posted an underwriting loss of $975.5 million (-2.3% operating margin), partially offset by $641 million in investment income. In 2024, BCBSM reported an underwriting loss of $1.7 billion (-4.2% operating margin).
Medical and pharmacy claims expenses rose $2.6 billion year over year, with medical claims accounting for $2.4 billion of that increase. Pharmacy claims rose $200 million, compared to a $900 million pharmacy cost increase in 2024.
The company said it has achieved $420 million in administrative cost reductions. Over the last year, it has announced employee buyouts, biosimilar transitions for Humira and Stelara, and the planned sale of a major subsidiary.
Total membership was mostly unchanged year-over-year at 5.1 million. Medicare Advantage membership grew to nearly 689,000 members.
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