Two state senators want Iowa to investigate whether the state’s dominant health insurer really needs $1.3 billion in reserves.
Sens. Jack Hatch and Matt McCoy, both Des Moines Democrats, are skeptical about Wellmark Blue Cross & Blue Shield‘s reserves because Wellmark has decided against participating next year in the state’s health insurance exchange.
Wellmark did not respond to a request for comment.
The Des Moines Register reports that Hatch delivered a letter to Insurance Commissioner Nick Gerhart, asking for the investigation. Hatch says state regulations require the insurer to have reserves of only $350 million.
Gerhart said last month he might investigate Wellmark’s need for the large reserve if the company didn’t take the risk of entering the exchange.
Topics Carriers
Was this article valuable?
Here are more articles you may enjoy.
Insurers Are ‘Actively Evaluating’ New Catastrophe Risks as Europe Burns 
Zurich CEO Says Staff Let Go as Regulator Finma Imposes Partial Sales Ban 
eBay Settles Couple’s Harassment, Stalking Claims for $55.7 Million 
After 55 Years in Florida Insurance, Tom Lynch Reflects on Agencies, Changes Needed 
