Insurer: 15-20% of new health insurance customers haven’t paid premiums

Insurer: 15-20% of new health insurance customers haven’t paid premiums

One of the biggest players in Obamacare’s exchanges says 15 to 20 percent of its new customers aren’t paying their first premium—which means they’re not actually covered.

The latest data come from the Blue Cross Blue Shield Association, whose members—known collectively as “Blues” plans—are participating in the exchanges in almost every state. Roughly 80 to 85 percent of people who selected a Blues plan through the exchanges went on to pay their first month’s premium, a BCBSA spokeswoman said Wednesday.The new statistics, particularly from such a large carrier, help define how many people are actually getting covered under the Affordable Care Act.

The Blues’ experience is in line with anecdotal estimates from other insurance executives, who indicated earlier in the enrollment process that they received payments from about 80 percent of people who selected their plans.

The Blues’ latest estimate includes policies that took effect Feb. 1 or earlier, the spokeswoman said. …

If the nationwide payment rate, across all carriers, remains at 80 to 85 percent, the 7.1 million sign-ups Obama announced Tuesday would translate into somewhere between 5.7 and 6 million people who are actually covered.

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