A rating agency says Vermont’s tough rate review process is weakening the finances of the state’s biggest health insurer, Blue Cross Blue Shield of Vermont.
AM Best said last week that it has changed the rating outlook for Vermont Blue to negative, from stable, for the company’s long-term issuer credit rating.
The rating agency left the company’s financial strength rating at B++, or Good.
Vermont Blue is still well-capitalized, but its financial performance is marginal, AM Best said.
AM Best said it expects to see the company’s current level of risk-adjusted capital remain under pressure .