2009's Biggest Loser is Blue Cross with a Loss of $149 Million and Fallon Coming in Second with Losses Nearing $29 Million.

Tufts, Harvard and Health New England continued to show profitability over the past two years and also managed to increase membership as well.  While a few plans continue to hide their revenue results this year - - they are still required to file their executive compensation plans with the Division of Insurance (DOI).  A few plans had flat or declining salaries in the wake of their 2009 revenue annoucnements.  A few managed to scale back bonuses while giving out modest salary increases. We were not able to obtain salaries for Blue Cross and Fallon. After 2008's salary increases at Blue Cross and their incredible amount of financial losses last year - - it will be interesting to see how their executives fare.

Medicare Sherpa has scanned each document and placed a copy in our discussion forum. You are welcome to download and view each exhibit.

 Blue Cross Blue Shield of Massachusetts had a difficult year in 2009 featuring a loss of $149 million as well as a declining membership of nearly 50,000.  While we do not have their salary compensation for 2009, we will continue to pursue this information from the Office of Consumer Affairs and Business Regulation at the DOI.

Tufts Health Plan of Massachusetts on all accounts had an excellent year with an increase in revenue despite a slight decrease in profitability.  Tufts Health Plan also enrolled nearly 40,000 new members.  Despite a strong showing for 2009, executives at Tufts Health Plan received an overall decrease in compensation of 4.57%.  Two top executives did receive nearly $100,000 increase in their annual bonuses or an 8% increase for Roosevelt and 18% increase for Crosswell. Their salar did remain flat.

Harvard Pilgrim Health Care of Massachusetts also had a strong showing this year. While they also experienced a decrease in profitability they managed to produce the highest net profit of all six plans tracked for the last two years.  Executive compensation increased by 4.8% over 2008. This is calculated by removing Baker and Hicks who were not included in the 2009 filing.

Fallon Community Health Plan of Massachusetts posted the second highest financial loss of $29 million for 2009.  We will continue to pursue compensation for this insurer as well.  Revenue did increase by $1 million as well as the addition of nearly 10,000 members.

Health New England of Massachusetts has yet to post their financial results for 2009.  Their filing of compensation with the DOI shows one of the highest increases of compensation for executives at 9%.  They currently do not disclose their financial results.

Neighborhood Health Plan of Massachusetts also does not disclose their financial results.  Currently their executive compensation plan appears to show a 3.53% increase across the board, but most of the team seemed receive about an $18,000 salary increase that was offset by significant decreases in their annual bonuses.  Most bonuses appeared to have been reduced from $60,000 a year to $10,000.  David Segal managed to get a $90,000 salary increase last year, must have been a cost of living increase because the previous year he received a $70,000 increase. It could be a typo.

About the Author:

My name is Dana Cutter and I am Founder and Editor of Medicare Sherpa. Our staff spends their days searching the Internet for the best content and advice on retirement.  On our site you will find articles on Social Security, Medicare Benefits, Prescription Drug Benefits and more. Please feel fee to send me an email with ideas for content, site improvements or general help launching your online persona. I hope you will consider joining and I am looking forward to reading more about you online.

TrackBack URI for this entry

0 Comments

Email Name		Comment smaller | bigger
		Subscribe via email (Registered users only) I have read and agree to the Terms of Usage. Write the displayed characters Add Comment