Blue Shield Plans to Dump Some Grandfathered Plans

Posted: July 25, 2016

by John Hansen

Blue Shield of California knows that dropping grandfathered plans is not the most popular thing to do. It goes against the spirit of the Affordable Care Act (ACA). It makes consumers angry. People instantly hear echoes of the Obama Care promise, “You will be able to keep your current plans.”

But will I? Well, maybe. Yes, you can keep your current Blue Shield plan. That’s true as long as the California health plan keeps offering your grandfathered plan. If they terminate the plan, then you’re out of luck.

Why Would They Drop These Blue Shield Plans?

Blue Shield of California has lots of older, grandfathered plans that maintain very little enrollment. Some of these Blue Shield plans have less than 50 people currently on them. It becomes very difficult and costly for the medical insurance carrier to manage an excessive amount of health plans that have very few members.

Which grandfathered plans will Blue Shield shut down?

The carrier has made the decision to terminate all grandfathered Blue Shield plans that currently have under 200 people on them. To see if your grandfathered coverage will be terminated, contact Blue Shield of California.