BCBS of NC is pushing legislators in Raleigh to allow it to evade certain regulatory requirements in accordance with its non-profit status. This follows a trend seen in other states where we have seen the various “Blues” become for-profit and/or merge with the “Blues” from other states. (For instance, Anthem Blue Cross Blue Shield is a plan that covers the state of Virginia and numerous other states.)
The behavior of BCBS of NC during recent years does not resemble that of a non-profit. I experienced this firsthand when it canceled my inexpensive, grandfathered, pre-Obamacare HSA-style plan and then tried to coerce me to purchase a much more expensive plan compliant with Obamacare. The former plan continued to be perfectly legal, but BCBS saw more potential for profit-making given the new Obamacare environment.
BCBS of NC showers state legislators with political contributions. It has accumulated huge reserves under its non-profit status. It is able to pay its executives huge salaries. There are questions as to what would happen to its reserves, and how much more it would charge customers, if this legislation were to become law. Mike Causey– the state insurance commissioner– has sounded the alarm. The Daily Haymaker also comments.
We need to be intensely suspicious of what is happening with this legislation. I had great confidence in our Republican-led state legislature 12 years ago when they first assumed control; but that confidence has since dissipated.