February 28, 2009
State Health Plan: Making the case for transparency
Posted by Joseph Coletti at 10:28 PM
The Raleigh News & Observer this morning reported Blue Cross Blue Shield of North Carolina costs the state $10 for each claim it processes in the State Health Plan, but most details of the contract are under wraps thanks to a law sponsored by Senate Majority Leader Tony Rand (D-Fayetteville). A later story has BCBS-NC spokesman Lew Borman saying the company's profit margin is just 0.625 percent.
Even at $10 per claim, the state paid $97.5 million for claims processing. This still does not come close to the $260 million shortfall through June or the $1.2 billion over the next two budget years.
Yet another reason to open the state's contracts and financial books to public scrutiny.
<< Last Entry