The Hawai’i Medical Service Association (HMSA) is reporting a net loss of $17.4 million for its first-quarter financials.
However, HMSA’s investments and the resulting increase to reserves are allowing for expanded member benefits, continued access to medical services, and financial stability for its physicians since the start of the COVID-19 pandemic. While the health organization doesn’t earn a profit from member premiums, it has earned steady gains over the years due to carefully placed investments.
“HMSA members, providers, and employer groups can be confident that we’re well prepared to continue supporting them for their health and safety needs,” says Executive Vice President and Chief Financial Officer Gina Marting. “Our investments are why we now have the ability to cover telehealth and COVID-19 treatments without charging our members a copayment. And through our Payment Transformation Program, we continue to pay our primary care providers who are using telehealth and other alternative methods of care to keep everyone safe and healthy, even if they can’t visit in person.”
Of HMSA’s $884.0 million in premium revenue for the first quarter, $780.1 million was paid to physicians and hospitals for health care services for members and $70.4 million was used to administer member benefits. HMSA reported an investment gain of $4.0 million.
About HMSA
Caring for the people of Hawaii is our promise and our privilege. Working together with employers, partners, and physicians and other health care providers, we promote well-being; develop reliable, affordable health plans; and support members with clear, thoughtful guidance.
HMSA is the most experienced health plan in the state, covering more than half of Hawaii’s population. As a recognized leader, we embrace our responsibility to strengthen the health and well-being of our community.
Headquartered on Oahu with centers and offices statewide to serve our members, HMSA is an independent licensee of the Blue Cross Blue Shield Association.
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