Ch-ch-changes for NC Blue Cross

The Obama administration’s new health care reform law has Blue Cross Blue Shield of North Carolina looking to cuts it’s costs by 20% over the next four years.

The News & Observer reports that Blue Cross expects to carve about $200 million from its annual $1 billion budget by 2014 by eliminating open positions, cutting jobs through attrition, offering early retirement, and streamlining operations.

“Over time, Blue Cross will be a smaller company,” CEO Brad Wilson said in an interview. “It’s all about change. We’re focused on how we need to change to meet the needs of North Carolina.”

As it tightens its belt, Blue Cross also will work with hospitals and other providers to reduce surging medical costs. That will include some “tough negotiations” with hospital systems and others across the state, Wilson noted.

You may recall back in May the nonprofit insurer began testing a plan to outsource some of its IT work to India.

Blue Cross Blue Shield is the state’s largest insurer with 3.7 million consumers in North Carolina.

8 Comments

  1. Chris Hatfer

    July 14, 2010 at 8:39 am

    As I understand from insurance agents, some BCBS rates for small groups and individual policies are going up over 20% this year. So much for health reform controlling any health care costs !

  2. Chris Fitzsimon

    July 14, 2010 at 8:56 am

    The N&O article mentions that we still don’t know how much CEO Brad Wilson makes.

    We also have no idea what sort of golden parachute the company gave former CEO Bob Greczyn when he left last year. He was earning $3.99 million a year when he left, not bad for running a “nonprofit” insurance company.

  3. Lou Meyers

    July 14, 2010 at 10:27 am

    Denying claims is another proven cost cutter. Punish the sick — it’s great for the bottom line!

    Four more years of hell — I thought the president said our future depends on fixing health care NOW!

    Look for record profits AGAIN from these bloodsuckers!

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  6. brad wilson

    July 14, 2010 at 10:50 am

    the salaries of the top folks at BCBSNC may be available online at the state insurance commissioner’s office. they are typically in the millions of $$

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  8. jsram666

    December 24, 2010 at 12:27 pm

    wow its looking great
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