Medicare Supplement plans to receive rebates

Anthem Blue Cross of California, a division of Wellpoint, announced that under Medical Loss Ratio rules, some of their members with Medicare Supplement plans will be receiving refund checks. Currently, if Medicare Supplement plans spend less than 65% of their revenue on medical care, 75% in the group market, they must refund the difference to policy holders.

Refunds for Anthem Blue Cross members in certain plans in five states (California, Colorado, Maine, Ohio and Wisconsin) will begin receiving rebates August 13, 2012. The refunds will range from $8.00 to $1,780.00. This refund applies only to certain plans where the member was enrolled as of December 31, 2011.

Senator Kerry (D-MA) and House Representative Stark (D-CA) have introduced legislation (S.1416 in the Senate and H.R. 2645 in the House) to raise the MLR on Medicare Supplement plans (also know as Medigap) to percentages that mirror the individual and group MLR ratios of the ACA (80% and 85% respectively). The bills have not been acted upon by either the Senate of the House.

For more information about the Medicare Supplement refunds, Anthem is instructing members to call the following phone numbers:

• California –  800.333.3883
• Colorado –  866.438.9969
• Maine –  877.890.4507
• Ohio –  866.649.2037
• Wisconsin –  800.548.4455