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Blue Cross Blue Shield: No minimum employer contribution reduction in MA

Managed Care Weekly Advisor, July 25, 2007

The largest health insurance provider in Massachusetts has reversed its stance on a policy that would have lowered the minimum health plan premium contribution that small business owners must pay for their employees.

The policy would have mandated that businesses with 50 or fewer employees pay 33% of the premium as a minimum amount, down from 50%, in response to complaints from small business owners that the 50% contribution level was too high.

A new Massachusetts law assesses employers $295 per employee if the employer does not make a health plan contribution, according to Medical News Today The second largest insurer in the state, Pilgrim Health Care, said that employers' minimum contribution will remain at 50%. Pilgrim Health Care had been considering a similar reduction.

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