Health care is getting more expensive. Families are feeling it. Employers are feeling it. And across the country, health plans are working to keep pace as prices for medical services and drugs continue to climb. Here’s how BlueCross supported our members, customers and communities in the face of rising health care costs.
We spent 91 cents of every dollar paying for members’ care
Our members and customers care about the way their premium dollars are used, and so do we. In 2025, 91 cents of every premium dollar paid for medical claims. That’s far above what’s required by law, and it reflects our steady commitment to prioritizing members.
Over the course of the year, BlueCross paid a record $22.2 billion in claims, which is a 10% increase over 2024. Doctor visits. Prescriptions. Hospital stays. Behind each claim is a person, and the responsibility to be there at the right moment.
At the same time, the cost of that care continued to rise. Prices increased and more care was delivered. Like many health plans nationwide, BlueCross saw those costs grow faster than the premiums used to cover them, resulting in an after-tax operating loss of $150 million.
Planning for years like this is one of the ways we serve our members responsibly.
Responsible financial stewardship supports members and communities
Over time, BlueCross has built a disciplined approach to managing our resources, including how we invest and prepare for uncertainty. In 2025, $388 million in after-tax investment income helped offset operating losses and supported stable, reliable coverage for our members. Even so, the outcome for the year was modest, with net income of $238 million, or 1.0% of revenue, below the five-year average of 1.6%.
Those results reflect the reality of the current environment. The cost of care remains the central challenge, and we took meaningful steps to reduce medical costs for our members, as well as our own operating costs.
As a locally based, not-for-profit health plan, BlueCross approaches those decisions with a long-term view. The goal is not to generate returns for shareholders (we don’t have any), but to maintain our ability to serve members and communities over time.
That commitment also shows up in the communities we serve. In 2025, BlueCross paid $604 million in state, local and federal taxes, supporting schools, infrastructure and essential services.
It also shows up in how the company prepares for the unexpected.
Preparing for the moments members need coverage most
Much like a household sets aside savings for emergencies, BlueCross maintains financial reserves so it can continue serving members even when conditions are uncertain. At the end of 2025, those reserves were enough to cover 107 days of claims. That cushion is there for one reason: to make sure coverage continues when people need it most.
There’s no simple fix for rising health care costs. It will take time, effort and collaboration across the entire system.
What members can expect from us is consistency. A focus on doing the right thing with the dollars entrusted to BlueCross. A commitment to covering evidence-based care and making it as affordable as possible. And a clear understanding of what matters to the people we serve.