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Submitted Article |
- Blue Cross of California Broadens Large Group Product
Line With Consumer-Driven PPO
WOODLAND HILLS, Calif.--(BUSINESS WIRE)--Oct. 1,
2002-- Power HealthFund PPO Provides Members With Necessary Tools to
Become More Actively Involved in Their Health Care Choices
Blue Cross of California today announced the launch
of the Power HealthFund PPO (preferred provider organization) for large
employers with 500 or more employees on both an Administrative Services Only
and an insured basis(a). The PPO coverage options will be offered by Blue
Cross of California and its California affiliate, BC Life & Health
Insurance Company. Additionally, the companion Health Reimbursement
Arrangement (HRA) and Flexible Spending Account (FSA) administration will be
offered by BC Life & Health Insurance Company. The product will be
available by the end of October 2002 with an effective start date of January
1, 2003.
A new product approach to health care coverage in
the large group market, the Power HealthFund PPO offers a menu of the latest
health care financing features available. The product combines a high
deductible PPO with a supplemental employer funded HRA, which is an annual
fixed amount -- or defined contribution -- and an optional member-funded FSA.
"When employees are allowed to participate in
their own health spending, they become more active in managing their own as
well as their family's health care needs and costs," said David Helwig,
president of Blue Cross of California. "In addition, the cost
incentives and informational resources built into the Power HealthFund PPO
allows employees to be more educated utilizers of health care
services."
"In the current climate of escalating
double-digit health care cost increases, we are very pleased to offer large
group clients a product that can assist them in controlling their benefits
costs," said Mike Higgins, general manager, special accounts. "The
goal of the Power HealthFund PPO is to empower the employee and let them
make their own informed and cost-conscious decisions."-
The basic components of the Power HealthFund PPO include:
1) A high deductible PPO ranging from $1,000 to $5,000
2) An employer funded Health Reimbursement Arrangement (HRA)
3) An employee funded Flexible Spending Account (FSA)
4) Web-based HRA and FSA personal account management
tools and consumer information including SUBIMO Health Care Advisor (a
service that allows members access to quality and medical outcome data for
hospitals statewide) and Blue Cross of California's unique Consumer Cost
Guide (a guide to help members understand the relative cost differences
between hospitals based on inpatient and outpatient data and communicated
through a four-tiered price tag icon system for network hospitals in
California)
5) The custom Web site developed for this product gives
administrators the ability to provide web-based enrollment for all BC Life
& Health Insurance Company and Blue Cross of California medical products
and FSAs.
According to Helwig, "Blue Cross has always had
a strong tradition of product innovation to address both employer and member
needs. Consumer-driven health care options like Power HealthFund will allow
our members to have more direct input and control over their participation
in personal health care spending and allow our larger clients flexible
options to mitigate their health care expenditures."
Blue Cross of California and its California
affiliates, with more than 6.7 million medical members, is an operating
subsidiary of WellPoint Health Networks Inc., one of the nation's largest
publicly traded health care companies. WellPoint serves the health care
needs of more than 13 million medical members and approximately 45 million
specialty members nationally. WellPoint offers a broad spectrum of quality
network-based health products including open access PPO, POS and hybrid
products, HMO and specialty products. Specialty products include pharmacy
benefit management, dental, utilization management, vision, mental health,
life and disability insurance, long term care insurance, flexible spending
accounts, COBRA administration, and Medicare supplements. Blue Cross of
California may be found on the web at www.bluecrossca.com.
BC Life & Health Insurance Company and Blue Cross of California are
independent licensees of the Blue Cross Association.
(a) Blue Cross Power HealthFund PPO is available to
Administrative Services Only(1) (ASO) or ASO/Stop-Loss(2) clients with more
than 500 eligible subscribers, or on an insured basis to groups with at
least 500 currently enrolled PPO subscribers.
1. ASO refers to self-funded clients/employers who
bear all financial and legal risk for their health plan. In these instances,
BC Life & Health provides claims processing and other administrative
services only.
2. Stop-Loss contracts provide the insurance of
claims in excess of particular levels when used with self-funded
plans. -
- CONTACT:
- Blue Cross of California
- Lisa Mee-Stephenson, 805/557-6790
The Defined Care web site is provided as a free service of MCOL,
positioning you for a new kind of healthcare.
-
- MCOL 1101 Standiford Ave., Suite C-3, Modesto, CA
95350
- www.mcol.com
- 209.577.4888 (v) 209.577.3557 (f) mcare@mcol.com
(e)
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