Regarding the Feb. 12 Business article “N.C. launches probe of Blue Cross over IT issues”: I am ambivalent about ACA, but I am not ambivalent about BCBSNC.
I expect the insurance commissioner’s investigation will find a number of management and control problems with how BCBSNC is run. But when they do find problems, the question will be: “What to do about it?”
BCBSNC is almost a monopoly in the state. It is complaining about ACA now in preparation for another 30 to 35 percent rate increase for 2017. This writing is already on the wall.
What other industries (besides health care) are increasing prices 30 to 35 percent per year and still complaining it’s not enough? If it turns out that BCBSNC is run poorly, then the insurance situation in this state must change to promote competition and get better rates.
If the insurance commissioner finds that BCBSNC is not negligent, then the state needs to take other steps to rein in the runaway health care costs.
BCBSNC’s problems are not all due to ACA. BCBSNC’s mismanagement and control problems are leading to whatever losses are being claimed, and the reality is that BCBSNC management wants to increase rates to compensate for its own shortcomings.