In the first six months of 2022, Pittsburgh-based Highmark Health has reported losses of $174 million and a $460 million decline in its investments, according to the company's financial results released Aug. 30.
"Despite challenges affecting the entire healthcare sector, we remain strategically and operationally focused on serving our customers, driving the purposeful execution of our Living Health strategy, and maintaining our holistic capital plan and strategy. We are built to weather these storms," President and CEO David Holmberg said.
Losses occurred on the provider side, with continued pressures from supply chain issues, inflation and increased labor costs. Within the Allegheny Health Network, patient discharges and observations were down 2 percent year over year, but outpatient registrations were up 12 percent, physician visits up 3 percent and emergency room visits up 13 percent.
The financial report highlighted the positive performance of the company's insurance divisions — Highmark Health Plans, United Concordia Dental and HM Insurance Group — which was driven by increased membership and favorable claims.
The company as a whole reported $12.9 billion in revenues, with Highmark Health Plans reporting an operating gain of more than $450 million in the first half of the year, which was driven by commercial and government business and favorable claims. That's down from $480 million in operating gains from the same period last year.
United Concordia Dental saw an operating gain of $68 million in the first half of the year, down from $69 million year over year.