HONOLULU (AP) — Hawaii's largest health plan is reporting a $44.4 million net loss for last year.
The Hawaii Medical Service Association on Saturday attributed the loss to Hawaii's aging population, an increase in health care costs and fees associated with the Affordable Care Act.
HMSA says it offset the losses with strong investment earnings of more than $57 million, a tax benefit and reserves.
The health plan maintains a reserve of nearly $400 million or about $540 per member.
HMSA says it spent $2.5 billion on health care services for its members last year.
For every dollar that HMSA collected in health plan premiums, more than 95 cents went to paying doctors, hospitals, pharmacists, and other health care professionals for member health benefits.