ROCHESTER, N.Y. — Excellus BlueCross BlueShield, Central New York’s largest health insurer, reported net income of $117.6 million on $6.6 billion in premium revenue in 2021.
Excellus net income rose 21 percent from the $97.2 million the health insurer generated in 2020.
The Rochester–based nonprofit disclosed the figures in an annual financial report filed with the New York State Department of Financial Services.
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The 2021 results amount to a net income of $78 per member for the entire year, up from $68.40 in 2020, Excellus said in a Tuesday news release.
The health plan’s spending for medical benefits increased by $635 million, or about 12 percent. in 2021. Excellus spent an average $16.1 million every day, covering the health care costs for its 1.5 million members.
“We remained focused last year on our mission as we continued to help our members access the care they needed while also navigating the challenges brought on by COVID-19,” Jim Reed, president and CEO of Excellus BlueCross BlueShield, said in the release. “We experienced larger-than-expected growth in medical-benefit spending in 2021, which was related to a pent-up demand for care delayed from 2020, and an increase in claims late in the year related to the Omicron variant.”
Excellus appointed Reed to lead health plan and its parent company, The Lifetime Healthcare Companies in May 2021. Reed succeeded Christopher Booth who retired after leading the company since 2013.
Excellus reserves stood at $1.5 billion at the end of 2021, or the equivalent of 86 days of claims and expenses. Reserves are like a savings account to be drawn upon for unforeseen higher expenses such as a pandemic.
Excellus also noted that it paid $430.9 million in federal and state taxes in 2021.
The health insurer says it spent at least $288 million on its response to the COVID-19 pandemic during 2021, which included coverage for treatment, testing, and vaccines.
