BCBST’s tax rate dropped from 35 percent to 21 percent this year under President Donald Trump’s new tax law. The insurer will use about $12.5 million of its savings to provide greater access to apps and services that “make it easier for our members to manage their health — and their healthcare,” John Giblin, BCBST’s executive vice president and CFO, told the publication.
BCBST will funnel the remaining $37.5 million toward premium decreases. However, amid soaring medical costs and the elimination of cost-sharing reduction payments under the ACA, BCBST’s 3 million members will likely see the tax savings offset only a small part of any rate increase, the Times Free Press reports.
More articles on payer issues:
Humana records 1.8M more ‘healthy days’ since 2012: 5 things to know
BCBS of Massachusetts introduces portfolio of digital health tools: 3 notes
CMS’ new Medicare rules may be fueling Walmart, Amazon deals
