Blue Shield Begins Its Offensive Against Its Members

By
Real Estate Agent with COMPASS DRE# 01339266

This week I received a politely worded letter from Blue Shield of California that was a rude awakening to the fact that this health insurance company is beginning its strategy to tighten the screws on its members.

The letter began by thanking me for choosing Blue Shield and went on to state their appreciation of my trust in them and to ensure me of their commitment to provide me with easy access to quality medical coverage.

Then, in the second paragraph of their polite letter, they dropped their devious bomb.

"Effective January 1, 2010, Blue Shield will no longer reinstate policies that are canceled for nonpayment of premiums. This means that if your premiums are not paid in full and received by the due date, your policy will be canceled and you will need to re-apply for coverage."

Their "newsletter" was accompanied by a three page policy endorsement.

Fortunately I've never been late in paying my premiums - but what about those members whose payment may be late for some justifiable or extremely unfortunate reason?

To me, this stinks of a harsh tactic to force people to reapply and be "re-evaluated" for membership should some dire financial circumstance fall on a member.

This seems to reinforce the case for a "Public Option" that President Obama is proposing.

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Rainmaker
262,006
David Monsour
Keller Williams Keystone Realty - Gettysburg, PA
ABR - www.realty-insights.com

I just hate the hold that these huge companies have on everyone.  The changing of rates on credit cards, and this.  Perhaps money really is the root of all evil. 

Nov 29, 2009 08:28 AM #1
Rainer
50,813
Connie Winstead
Nancy Puder & Associates - Arroyo Grande, CA
San Luis Obispo County CA Real Estate Agent

Yep I got one of those also ... and from another company which gives us an option to change companies and guess what ??/  surprise surprise all the premiums have gone UP UP UP !!

I don't know how much longer we can keep paying $790 a month for medical coverage.

 

Nov 29, 2009 08:44 AM #3
Rainer
302,425
Terry Haugen STAGE it RIGHT! 321-956-2495
Stage it Right! - Melbourne, FL

Stewart, the health insurance industry, like the credit card industry is putting the screws to us now, in preparation for the coming reforms.  I would like to have seen congress issue  a moratorium on both industries, requiring them to put on  hold any proposed changes till legislation is passed.

Nov 29, 2009 10:17 AM #4
Ambassador
534,599
Kate Elim
Dockside Realty - Spotsylvania, VA
Realtor 540-226-1964, Selling Homes & Land a

Hi Stewart...Can you imagine what happens to the member that is late on a payment because they have to pay a medical bill that is not covered by their Blue Cross insurance. 

Pretty ironic and downright tough on those having financial problems.

It is precisely because of things like this that I realize how fortunate we are to have Medicare and Tricare for Life...both government run programs.

I would have re-blogged this but it does not allow me to.

Kate

Nov 29, 2009 10:40 AM #5
Rainmaker
494,010
COMPASS PALM SPRINGS | Stewart Penn
COMPASS - Palm Springs, CA
COMPASS Palm Springs - Broker Associate

As Terry in #4 said above, there should have been a moratorium on both the credit card and health insurance industries changing the terms of their agreement with customers until after the new legislation takes effect.

These companies continue to show they have no ethics or morality, and certainly no integrity!

Nov 29, 2009 11:22 AM #6
Rainmaker
342,854
Elizabeth Bolton
RE/MAX Destiny Real Estate Cambridge, MA - Cambridge, MA
Cambridge MA Realtor

HI Stewart ~ My BCBS monthly payment is set to go to over $1000 in two days. Bye bye BC.  It's an absolute outrage. It's a long way to Medicare but unless Congress gets it together I guess I'll be keeping my fingers crossed I can make it. Give me government "run" health care any day.

Liz

Nov 29, 2009 01:14 PM #7
Rainer
437,789
Terry Chenier
Homelife Glenayre Realty - Mission, BC

Stewart,

As I have stated in previous posts, in Canada, you can't be refused or cancelled.

Nov 29, 2009 04:13 PM #8
Rainer
22,350
Dennis Chanski
Hebron, CT

It is amazing the cost of insurance which many don't even cover dental.  My premiums through BC were $1100 per month.

Nov 30, 2009 03:28 AM #9
Ambassador
1,006,592
Steve Shatsky
Dallas, TX

Hi Stewart... this is a perfect example of why there is absolutely a need for a public option.

Dec 01, 2009 02:58 PM #10
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Rainmaker
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COMPASS PALM SPRINGS | Stewart Penn

COMPASS Palm Springs - Broker Associate
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