BCBSKC Rebate

As you may already know, The Affordable Care Act requires BlueCross BlueShield of Kansas City (BCBSKC) to return a portion of premiums collected if they did not spend at least 80% of the premium dollars on health care services.  No more than 20% may be spent on administrative costs such as salaries, sales, and advertising.   This is  referred to as the Medical Loss Ratio.  The Medical Loss Ratio is calculated on a state by state basis and is not specific to our company.  In Kansas, BCBSKC spent 79.6% on health care services, which means they must split the .04% of total insurance premiums collected between their Kansas policyholders. 

 

Excel Constructors received a rebate of $812.20 for premiums paid in 2011.  So what does that mean to you?  If you had employee only coverage, 100% of your premium was paid by Excel and no rebate is due.  If you had dependent coverage, Excel still paid for the employee portion, but you paid for the dependent portion and you are entitled to a rebate.   If your premiums are pre-tax, your rebate will be taxable.

 

Here is what you can expect on this Friday's check (8.10.12)

 

Employee Only - $0

Employee + Spouse - $15.20

EE + Child(ren) - $11.60

Family - $26.41

 

If you did not pay for a full twelve months of premium, your rebate will vary.

 

If you have any questions, please contact Michelle Kaufman at michelle.kaufman@excelconstructors.com or 913.261.0217