As the nation braces for the impact of an increased H1N1 pandemic this fall, insurance companies covering Virginia residents and those nationwide are taking steps to cover the administration of a vaccine.

Ken Schrad, a spokesman for the State Corporation Commission, which oversees the state’s bureau of insurance, said the department is monitoring H1N1 and at press time “has not yet made a determination as to whether communication will be directed to health insurers addressing special circumstance or requirements that such an outbreak may pose in Virginia.”

In the meantime, local insurers are outlining their coverage policies for administration of an H1N1 vaccination, due to the public in the near future.

Virginia Beach, Va.-based Optima Health announced it will cover both the seasonal flu and H1N1 vaccines for all members.

George Heuser

Dr. George Heuser, the insurer’s senior medical director and vice president, told IFAwebnews.com the company sees H1N1 “as no different” than the seasonal flu and the company will reimburse providers for any administrative fees.

Optima has yet to determine a cost, Heuser added, as details regarding the availability and quantity of a vaccine were not available at press time.

“A number of employer groups have inquired about the vaccine availability”, he said. “Due to the amount of media attention the H1N1 virus has received, we have had frequent inquiries from brokers and agents.”

In July, WellPoint announced it would cover administration of the H1N1 vaccine when available, as will its subsidiaries, including Anthem Blue Cross in Virginia.

Scott Golden, a spokesman for the Richmond-based insurer, said “at this point,” Anthem will cover administration for members whose benefit plans provide coverage for vaccines. He could not estimate how many policyholders could be included.

“We were one of, if not the first, health insurance carrier to announce we would cover the administration of the vaccine,” Golden said. “We are working with both state and local governments to ensure that our members have access to and are educated about the importance of the vaccinations.”

National insurers following suit

UnitedHealth Group was one of the first national health insurers to say it would cover the administration of the H1N1 vaccine.

The insurer has said it will cover the fee not only for members whose health benefit plans cover immunizations, including those in Virginia, but all of its members, regardless of whether it is part of their plan.

“We felt it was important to remove barriers to ensuring the widest possible administration of the vaccine,” Reed V. Tuckson, executive vice president and chief of medical affairs for the Minneapolis, Minn.-based company said in a statement.

Tyler Mason, a spokesman for the insurer, IFAwebnews.com the company has set aside $50 million to cover H1N1 vaccinations as a preliminary measure.

National insurers Aetna and CIGNA said they too will be covering the administration of the H1N1 vaccine to their Virginia customers.

Aetna spokeswoman Wendy Morphew said the company will cover members with health benefit plans that provide vaccination coverage, indicating that “most” Aetna members have such coverage.

Morphew said additional costs from the vaccinations will come in the second half of the year and the company has “built them into our planning.”

A CIGNA spokesperson said the company will cover the H1N1 vaccine under the preventative care benefit as “75% to 80% of our membership will be covered 100% without co-pays or insurance.”

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This story originally appeared in the October 2009 print edition of Insurance & Financial Advisor.