Denver, CO – Sept. 16 — Anthem Blue Cross and Blue Shield in Colorado
(Anthem) today announced that it will provide a one-time premium credit to
certain of its 2010 policyholders that had individual policies of health insurance.
The one-time credit will be provided to policyholders either as a premium credit
on their December statement or through a check. Anthem has agreed to provide
this credit as part of an agreement with the Colorado Department of Insurance
(DOI) regarding our 2010 individual rates and believes the credit is in the best
interest of its members.
This credit does not apply to Colorado Major Med, Custom Plus Plan or group
conversion policyholders. It also does not apply to Anthem Group Plan members
who receive their insurance through an employer.
In October 2009 the Colorado Division of Insurance (DOI) approved Anthem’s
2010 individual rates for the policies that are the subject of this agreement.
However, earlier this year, the DOI notified Anthem that it was initiating a market
conduct examination of these rates.
Anthem is confident that its rates are appropriate, consistent with state law and in
line with those of its competitors. As part of the agreement, the DOI reaffirmed
our 2010 individual premiums and those rates will not change. The DOI did not
levy any fine against Anthem as a result of the market conduct examination. The
market conduct exam will be closed without resolution of the factual and legal
issues as well as the disputes that were the subject of the market conduct exam.
Anthem is not admitting any fault or wrongdoing with respect to either the factual
and legal issues or the disputes that were the subject of the market conduct
exam. Anthem agreed to this premium credit in order to terminate the market
conduct examination so that the company can dedicate its full attention to serving
its members. The total amount of credits to impacted policyholders is
approximately twenty million dollars.
Anthem will notify affected members about the premium credit process in