APRIL 19, 2021 09:41 AM (EDT)
Best’s Special Report: Manageable COVID Costs, Delayed Care Improved Publicly Traded Health Insurers’ Profitability in 2020
|Lauren Magro |
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FOR IMMEDIATE RELEASE
OLDWICK - APRIL 19, 2021 09:41 AM (EDT)
Publicly traded U.S. health insurance companies saw a 22% increase in net income in 2020 to $39.5 billion, due in large part to the decline in medical claims for non-COVID conditions and significantly lower utilization, according to a new AM Best special report.
The Best’s Special Report, “Manageable COVID Costs, Delayed Care Improve Health Insurers’ Profitability,” notes that as states lifted restrictions in the third and fourth quarters of 2020, utilization began to rise and elective procedures and routine care claims increased closer to their average levels before the pandemic. However, the uptick was not enough to counter the drop in utilization in the second quarter. The lower utilization and deferral of elective and routine care also more than offset the impact of COVID-related claims.
Other highlights in the report include:
To access the full copy of this special report, please visit http://www3.ambest.com/bestweek/purchase.asp?record_code=307722 .
AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City.