Blue Cross of Alabama

Mar 6, 2007

  1. aufan
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    aufan Super Genius

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    Does anyone have any experience to share about competing with big blue in Alabama? If you go to their website their rates look pretty strong, but of the 10 people I called today that currently had coverage with blue I heard a lot of negative--at least 50 percent were definitely not singing their praises.

    Any thoughts?
     
    aufan, Mar 6, 2007
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  2. insurancecalifornia
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    insurancecalifornia Expert

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    My sweet home Alabama!


    I have no idea but I like the power of Blue :)
     
  3. somarco
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    somarco That Medicare Expert Guy

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    I lived in Birmingham for 2 years quite some time ago and BX was the 800# gorilla then. I doubt things have changed much.

    At one time they claimed to have almost 70% of the market and no one challenged that. If they broker business, you might as well join them. No sense in beating your head against the wall for a piece of the remaining 30%.

    When you essentially control the market you can charge what you want and still make money. GA Blues did that for some time but their sins have finally caught up with them. As Wellpoint started to influence some of their underwriting & pricing we saw a few changes, but nothing so dramatic. Now that Anthem is part of the game it is a whole new ballgame.

    Once they bragged about issuing 94% of individual applications. At a recent meeting they said they are now "like everyone else" and rejecting 50%. Their rates are nothing to write home about. Their new product (Tonik) is a joke and will be priced out of the market in 2 years (just like their last CA import, Right Plan).

    Not much else I can tell you. Good luck.
     
    somarco, Mar 7, 2007
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  4. Sam
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    Sam Founder Administrator

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    The group market is even worse. Blue will only write direct, and no one else has a shot unless the group is over 200.
     
    Sam, Mar 7, 2007
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