Highmark Blue Cross Blue Shield

Highmark Blue Cross Blue Shield has continued to subsidize premiums for certain families in the children's program of Pennsylvania Health Insurance (CHIP). The insurance company said it will no longer subsidize care for children in families with incomes between 200 percent and 300 percent of poverty guidelines the federal government.

Consequently, families have seen their premiums skyrocket by 78 percent since the change took effect in October.

Highmark is one of four health insurers that administer the state program for uninsured children.

In an email to legislators and other region, Highmark offered the following explanation:

"I am writing to inform you of a recent decision by Highmark on Children's Health Insurance Program (CHIP), which may affect some of your constituents. As you know, CHIP provides free and low cost health insurance for eligible uninsured children from birth to 19 years. The program, for which we use a contractor, provides a comprehensive benefits package which includes medical, hospitalization, emergency room tests diagnosis, vision, hearing, dental and behavioral health benefits. Program eligibility is based on family size and gross annual income.
Over the years, Highmark has voluntarily supported CHIP and our local communities by paying a portion of premiums CHIP Highmark members each month to make it more affordable for families. However, we regret to inform you that effective October 1, 2009, Highmark will no longer provide premium subsidies to volunteers and start charging monthly rates CHIP approved by the Pennsylvania Department of Insurance last February. Highmark is taking this action, challenging the current economic environment, due to the increase in financial losses as a contractor because of CHIP administrative expenses not reimbursed by the state and increased medical costs of persons enrolled program. "

Pennsylvania State Representative Jesse White has called the decision a Highmark lowmark "for the uninsured."
Here is an excerpt from the blog Rep. White:
"Highmark terminates the health insurance for needy children in their hour longer needed because they need to make more money, and they blamed the government and patients as the main cause of their misfortunes. I can certainly understand, they posted a profit of $ 94 million last year, and its surplus is sitting at a paltry $ 3.1 billion. It's a wonder they can still afford to illuminate the building huge in the center of Pittsburgh.
"So, can someone remind me exactly how these insurance conglomerates came to be known as the" good "in the debate on health care?"