Mergers, conversions: Blues' survival strategies

Article Abstract:

The 63 Blue Cross & Blue Shield health insurance plans, which began in the 1930s as nonprofit cooperatives, may in 1996 find it necessary to merge with each other or with healthcare providers including medical groups and hospitals. Also, many Blue Cross health plans now offer managed care services for Medicaid and Medicare patients. Management strategies of several Blue Cross plans are described, including Blue Cross & Blue Shield of Colorado, which converted to an investor-owned company, the Rocky Mountain Hospital and Medical Service Inc.

Management, Services, Rocky Mountain Hospital and Medical Service Inc.

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Look for more Blues mergers, conversions in 1997

Article Abstract:

Mergers and conversions among Blue Cross and Blue Shield plans are expected to pick up pace during 1997, with the majority of activity taking place in the Northeastern United States. Increasing competition from for profit health insurance companies is prompting the conversion of many nonprofit Blue Cross and Blue Shield plans. Blues plans will focus more of their resources on managed care, paralleling activities in the commercial health insurance sector.

Forecasts and trends, Acquisitions and mergers

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