On December 30, the Commissioner of the D.C. Department of Insurance, Securities and Banking determined that the District-based portion of CareFirst BlueCross BlueShield has accumulated excess surplus of $268 million. The Commissioner also determined that approximately 21 percent of this excess ($56 million) is attributable to the District, 26 percent to Virginia ($70 million) and 53 percent to Maryland ($142 million). He ordered CareFirst within 45 days to submit a plan to spend down the $56 million attributable to the District. The Commissioner will have to approve the plan before it can be implemented. Officials in Virginia and Maryland will determine how the $212 million allocable to those jurisdictions will be spent.
It is important that residents of the region understand how this decision came about and what it means to them.