IBJNews

Report: WellPoint dominates Indiana markets

Back to TopCommentsE-mailPrintBookmark and Share

WellPoint Inc. holds an overwhelming share of the commercial health insurance market in 13 of Indiana’s 14 largest metros, according to a controversial new study by the American Medical Association.

The report, issued Nov. 28, concludes that Indianapolis-based WellPoint has 56 percent of all Hoosiers enrolled in either employer-sponsored or individually purchased medical policies. The nearest competitor, according to the study, is Minnesota-based UnitedHealthcare, with 12 percent of the statewide commercial market.

The AMA study is based on data collected via surveys by Tennessee-based market research firm HealthLeaders-InterStudy in 2010. It includes enrollment for all types of plans, including PPOs, HMOs, consumer-directed health and point-of-service.

But it fails to include all members of health plans at self-funded employers, according to a critique of the study by the health insurance trade association, American’s Health Insurance Plans. WellPoint referred questions about the AMA study to AHIP.

“Most critically, the data are incomplete and omit various competitive alternatives, with the result that the market share figures do not reliably reflect the actual state of competition in such markets,” AHIP staff members wrote in response to the U.S. Department of Justice about the AMA data.

AHIP‘s concern is to point out that it is the rapid consolidation of hospitals and doctors that is the biggest threat to controlling health care prices. There is some local evidence for that.

But the American Medical Association data still show, either due to market dominance or superior pricing and products, WellPoint holds more than quadruple the number of commercial customers than UnitedHealthcare. And in some markets, the gaps are even wider. Only in Lafayette does UnitedHealthcare come close to WellPoint’s shares.

Here are the market shares for WellPoint and its nearest competitor, shown in the AMA study in Indiana’s 14 largest metropolitan areas. The data include Hoosiers enrolled in any WellPoint health plans, even if that plan is operated out of a different state.

Indianapolis: WellPoint, 59 percent; UnitedHealthcare, 12 percent
Anderson: WellPoint, 68 percent; UnitedHealthcare, 9 percent
Bloomington: WellPoint, 59 percent; Aetna Inc., 16 percent
Columbus: WellPoint, 61 percent; SIHO Insurance Services, 16 percent
Elkhart-Goshen: WellPoint, 63 percent; Cigna Corp., 8 percent
Evansville: WellPoint, 44 percent; Welborn Health Plans, 18 percent
Fort Wayne: WellPoint, 53 percent; Aetna, 15 percent
Gary: WellPoint, 48 percent; UnitedHealthcare, 20 percent
Kokomo: WellPoint, 57 percent; Advantage Health Solutions Inc., 13 percent
Lafayette: WellPoint, 40 percent; UnitedHealthcare, 27 percent
Michigan City-LaPorte: WellPoint, 61 percent; UnitedHealthcare, 11 percent
Muncie: WellPoint, 65 percent; UnitedHealthcare, 9 percent
South Bend-Mishawaka: WellPoint, 42 percent; Blue Cross Blue Shield of Michigan, 20 percent
Terre Haute: WellPoint, 73 percent; UnitedHealthcare, 10 percent

 

ADVERTISEMENT

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
 
thisissue1-092914.jpg 092914

Subscribe to IBJ
  1. On my rental property, before tax caps, I was paying $2,000/yr in property taxes. After the tax caps I'm paying $4,000/yr. How exactly am I "benefiting the most"?

  2. Nick, I too tried that new Walmart NM on Michigan a couple of weeks ago. I had the same feeling, it had good prices, but something was just off about it. I can't put my finger on what it is, but it just didn't feel right. On the plus side, it was easy to get in and out of and much less busy than a typical Walmart.

  3. @Young Hoosier - you might want to check out the Paris skyline again....it's decidedly taller than 7-8 stories http://all-that-is-interesting.com/paris-skyline-photo

  4. Are you in need of Loan or financial help?, you need a loan for your business or to solve other monetary issues. James Lewis Loan Company started offering loans with a very low interest rate of 3% for a minimum of 15 years, Interested applicants should submit their request via email (jameslewisloan@gmail.com) for immediate processing with the information listed below: Names in full:................ Address:...................... Gender:.................... Email:........................ Phone Number:....... Amount Required:... Loan Duration:....... Country:................. Occupation:.................. ================================== In acknowledgment to these details, I will send you a well calculated Terms and Conditions for the amount you require. Warm Regards, Mr James Lewis

  5. So the GOP legislature passed a bill that gave big breaks to business at the expense of Indiana families. Color us not surprised.

ADVERTISEMENT