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Blue Cross wins $125 million state contract from BlueShield

Published in Managed Care Weekly Digest, April 12th, 2004

Regence BlueShield of Idaho has lost the health insurance contract it has had with Idaho state government for over a quarter century.

In-state rival Blue Cross of Idaho won the $125 million contract and will assume responsibility on July 1, 2004, for health insurance coverage for 48,000 government employees, their families, and retirees.

Blue Cross already has 320,000 customers in Idaho, and spokeswoman Lisha Bridges said 30 full-time employees will be added to handle the new business.

BlueShield relied on the state contract for 18% of their 260,000 customers in 2003. Spokeswoman Georganne Benjamin said the impact was still being...

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