Blue Medicare-plus-Choice Plans Continue Participation in Hopes of Additional Federal Funding from Congress

9/26/2002

From: John Parker of the Blue Cross and Blue Shield Association, 202-626-4818 e-mail: john.parker@wro.bcbsa.com

WASHINGTON, Sept. 26 -- The following is a statement from Mary Nell Lehnhard, senior vice president, Office of Policy and Representation, Blue Cross and Blue Shield Association:

"All Blue Cross and Blue Shield Plans currently participating in Medicare-plus-Choice (M-plus-C) have informed the Centers for Medicare and Medicaid Services that they will remain in the program in 2003. The Blues continuing commitment to M-plus-C is based on the expectation that Congress will act this year to provide needed funds to stabilize the program.

"The M-plus-C program is at a crossroads and without significantly increased, multi-year funding, it is likely that fewer Blue Plans will be able to participate in future years. The Plans responded favorably to the growing bipartisan recognition in Congress and by the Administration that additional funding is needed to ensure that consumers are able to access the comprehensive and affordable benefits associated with the M-plus-C program.

"Recent polling by the Blue Cross and Blue Shield Association demonstrated that more than 90 percent of enrollees, a majority of whom are from low-income and minority groups, overwhelmingly support the M-plus-C program and highly value the range of healthcare choices it provides. Many enrollees also said they would blame Congress if the program were no longer available. Congress must heed this message.

"Currently, 17 Blue Plans in 13 states totaling more than 1 million enrollees will continue to participate in the Medicare-plus-Choice program. Despite the strong overall participation by the Blues in 2003, two Plans have reduced their service areas and other Plans will make changes in benefits due to the inadequate federal funding.

"In an effort to expand M-plus-C offerings and encourage greater participation by enrollees, the following Blue Plans have been approved to offer preferred provider organization (PPO) demonstration plans in 2003:

-- Anthem Blue Cross and Blue Shield will offer two PPO demonstration plans in selected counties of Kentucky and Ohio, effective June 2003.

-- Horizon Blue Cross and Blue Shield will offer a PPO demonstration plan in all New Jersey counties, effective January 2003.

-- BlueCross BlueShield of Western New York and Blue Shield of Northeastern New York will offer a PPO demonstration plan in 18 New York state counties, effective January 2003."

For a copy of BCBSA's recent public opinion research gauging enrollees' perceptions of M-plus-C as well as the Association-commissioned study on the program's demographics go to http://www.BCBSHealthIssues.com.

The Blue Cross and Blue Shield Association is made up of 42 independent, locally operated Blue Cross and Blue Shield companies that collectively provide healthcare coverage for 84.7 million -- nearly 30 percent -- of all Americans. For more information on Blue Cross and Blue Shield Plans, visit http://www.BCBS.com. For more information on Blue Cross and Blue Shield Association's policy positions and the healthcare debate, visit http://www.BCBSHealthIssues.com.