Call Us: 910.392.7020


  • Home
  • Individual & Family Insurance Plans
    • Health Plans
    • Dental Insurance
    • Life Insurance
  • Medicare Supplements
  • FAQ
  • Get a Quote
  • Schedule an Appointment

Where Does Your Health Insurance Premium Go?

One of the most common questions asked to health insurance providers is – where does my premium dollar actually go? There's a general misconception that insurance companies absorb most of their customers' premium dollars as profit, but that's not true. In reality, insurance providers claim just three cents of each dollar as profit. Where does the rest go? The answer might surprise you.

Breaking Down Your Premium Dollar

At Blue Cross Blue Shield of North Carolina, $0.86 out of every dollar goes toward covering the medical costs of our customers. The remaining $0.14 goes toward everything else, such as profit, consumer services, provider support, marketing, and state and local taxes, ACA taxes and fees, compliance, claims, processing, and administration.

Out of the $0.86 used to cover medical costs, $0.35 is spent on hospitals, $0.33 is spent on physicians, $0.14 is spent on medications, and $0.05 is spent on all other miscellaneous medical expenses.

The Affordable Care Act of 2010 requires all insurance providers to use at least $0.80 of every premium dollar from individual and small group customers to pay customer claims and support initiatives designed to improve the quality of care. For large group customers, the minimum requirement is $0.85. BCBSNC has exceeded that standard for years, even before the ACA was put into effect. In fact, in 2012, BCBSNC paid $260 million more toward health care expenses than was required by the federal government at the time.

Choose Your Plan From Schnitzer-Slate Health Insurance Provider in Wilmington NC

If you're looking for an affordable health insurance plan from a health insurance provider in Wilmington NC that has the best interests of its customers in mind, then call Schnitzer-Slate today. We're an authorized provider of BCBSNC insurance plans and as such we have a host of flexible health care plans for you to choose from. Just call us at 910-392-7020 and one of our agents will help you choose the right policy for your needs and budget. Or, just visit our website at http://healthplannc.com/ to learn more about affordable health insurance in Wilmington.

LINKS


Health Plans
Dental

Life Insurance
Medicare Supplements
FAQ
Get a Quote
Schedule an Appointment

Privacy Notice Statement
Blue Cross NC Non-Discrimination Policy and Accessibility Services
Sitemap

ABOUT


Schnitzer-Slate Insurance Agency is an exclusive True Blue authorized agency of Blue Cross and Blue Shield of North Carolina.

CONTACT


5725 Oleander Drive, Suite G3
Wilmington, NC 28403 


Call: (910) 392-7020
Hours of Operation:
Mon-Thurs: 8:00 am - 4:30 pm
Friday: 8:00 am - 12:00 pm

(910) 542-8590

BACK TO TOP

© DivTag Templates Ltd | All Rights Reserved