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What Is Blue Advantage Insurance?

In some states, Blue Advantage is a series of medical insurance plans underwritten by Blue Cross/Blue Shield. Because the insurance industry is regulated by the individual states, rather than at the federal level, the plans known as "Blue Advantage" vary by state. These Blue Advantage plans allow customers to choose between basic major medical insurance, discounted plans offering more limited coverage for a lower premium, and a health savings account/high deductible health plan option. In other states, Blue Advantage refers to a Medicare Advantage program under Medicare Part C.

  1. Common Elements

    • All major medical plans marketed under the Blue Advantage label include 100 percent coverage for preventive care procedures, provided you use providers in the plan network. All plans pay for most costs associated with general practitioner and specialist visits as well, though some plans will require you to pay a copay and a deductible. Coverage for prescription drugs also is covered after your copay and deductible has been met. However, there are variations to these plans in different states. Speak to an insurance agent licensed in your state for specifics on these plans in your area.

    Blue Advantage

    • Blue Advantage provides the most comprehensive protection in the series of health plans. Deductibles are relatively low compared to the other plans. These plans provide coverage for both generic and brand-name drugs, though you will pay a copayment when you have a prescription filled. Specifics vary by state.

    Blue Advantage Saver

    • The Blue Advantage Saver plans are designed to feature more affordable premiums. In order to do this, these plans will generally have higher deductibles and provide more limited benefits. Some Saver plans, for example, provide coverage for generic drugs, but not for brand-name drugs. You may pay a higher coinsurance amount than you would with a regular Blue Advantage plan.

    Health Savings Account/High-Deductible Health Plan (HSA/HDHP)

    • The Blue Advantage Series also features a health savings account/high-deductible health plan combination. A health savings account allows the customer to set money aside for future health care expenses on a tax-advantaged basis. Contributions are deductible, and assets grow tax deferred. Withdrawals are tax-free if they go to pay medical expenses. They must be combined with a qualified high-deductible health plan. You only can qualify if neither you nor a spouse are covered by a health plan through your employer.

    Medicare Advantage

    • Some state Blue Cross affiliates use the term "Blue Advantage" to refer to a series of Medicare Advantage plans offered to seniors over age 65. These are managed care plans such as health maintenance organizations (HMOs) or preferred provider organization plans that help seniors access their Medicare benefits via Medicare Advantage program or Medicare Part C. These plans are available for a premium and provide seniors with an expanded set of medical benefits while helping them meet Medicare deductibles.

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