New solutions aim to improve access to growing gene therapy pipeline by financing and mitigating health payer risk
CHICAGO, Nov. 28, 2023 /PRNewswire/ — BCS Financial has expanded its stop loss and reinsurance offerings to include new payer solutions in response to the rapidly growing gene therapy pipeline. With more than 20 therapies expected to hit the market by 2024 (including 7 already approved by the FDA), BCS is proactively responding with new employer and health plan solutions designed to help finance and mitigate the risk for payers.
“Gene therapies offer the promise of potential cures, but with treatment costs ranging from $2M to $4M payers and self-insured employers will be challenged to finance these unprecedented costs,” said Peter Costello, BCS President & Chief Executive Officer. “At BCS, we are focused on finding new ways to help health plans, employers, and ultimately insureds finance and utilize these costly treatments as part of our mission to improve affordability and access to care.”
These new product solutions include:
- A reinsurance pool product for health plans that covers the cost of gene therapy ingredients to protect against large, catastrophic claims, and offers back-end management services; and
- A gene-therapy-only stop loss product designed to protect large, self-insured employers from the frequency and severity of these one-time treatments.
“The gene therapy pipeline is experiencing rapid growth, and BCS is growing and developing right alongside it with new and innovative products and solutions,” said Mehb Khoja, BCS’ Large Claim Solutions leader. “These are remarkable treatments, and our goal is to help alleviate the unexpected burden of these expenses for self-insured employers and health plans.”
The new reinsurance product will cover more than 9M lives as part of BCS’s RiskNavigator solution set, a holistic risk management suite of services that helps customers mitigate and manage their large claim risks through insurance and reinsurance products, centers of excellence contracts, clinical advice and expertise, cost containment partnerships, and more.
This approach could serve as a model for other health insurers, large groups, and risk-bearing entities.
About BCS Financial: BCS Financial Corporation has more than 70 years of experience delivering a wide-range of insurance and financial solutions for Blue Cross and Blue Shield organizations and commercial markets nationwide. Through its subsidiaries, BCS Insurance Company and 4 Ever Life Insurance Company, BCS is licensed in all 50 states and is rated A (Excellent) by A.M. Best. BCS Financial is headquartered in Oakbrook Terrace, Ill. Learn more at bcsf.com.
SOURCE BCS Financial