Was the conversion of Empire Blue Cross Blue Shield from non-profit to for-profit insurer a factor in this proposal?
There is no way to know what factor, if any, the conversion of Empire BCBS from a non-profit insurer to a for-profit insurer played in this proposal. One could argue that Empire BCBS stands to make higher profits in the absence of a network because premiums for the hospital portion of the Empire Plan would rise at a faster rate. What we believe to be the major factor in the states decision to implement the network is that no other insurer is willing to bid on the hospital portion of the plan as it is structured now. The current design of the Empire Plan hospital component provides the same level of benefits regardless of whether a hospital is in-network or non-network. This type of design is so unusual for large employer health plans that the last time the hospital component was put out to bid (1999), the only bidder was the current insurer, Empire BCBS. In the absence of competition, the state has no choice but to continue its contract with Empire BCBS. With no threat of losing the co
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- Was the conversion of Empire Blue Cross Blue Shield from non-profit to for-profit insurer a factor in this proposal?
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