BCBST on the Exchange

BlueCross BlueShield of Tennessee emerged as the state’s big enrollment winner in the federal marketplace.

“At best we thought if we could add a 100,000 that would be really successful … we ended up at 133,000,” said Henry Smith, senior vice president of operations and chief marketing officer for Chattanooga-based BCBST.

BlueCross sold 88 percent of the marketplace plans in Tennessee. Company officials point to education, marketing, and having a wide selection of plans at a good price point as being keys to their success. The marketplace additions more than doubled the company’s individual business.

Like other carriers across the nation, BCBST saw a major surge toward the end of open enrollment. As of Dec. 28, 2013, the company had 31,316 enrolled in their marketplace plans. By the time the final bell rang, BCBST had sold 133,291 policies to consumers using HealthCare.gov.

Henry noted, “If I look at who enrolled, it was predominantly female and predominantly older, ages 34-55.” However, he continued, “As we approached the deadline, the average age began to reduce.” Still, he said, enrollees in the 18-34 age group wound up being lower than projected (about 26 percent of policies sold) and will be a continued point of emphasis moving forward.

As expected, Henry said the vast majority of those buying policies through the marketplace qualified for subsidies (80 percent) and bought at the silver level (73 percent). BCBST offered three networks — E, S & P … or Exchange, Select and Preferred. The provider network broadens with each step up. In metro areas where the E network was made available, it was the choice for the majority of enrollees. In Nashville, which accounted for about 30 percent of the overall marketplace policies, Henry said the E option mostly consists of Saint Thomas Health and allied facilities and providers.

Education was a major component of preparing for this first open enrollment period and will be for 2015, as well. “We held community meetings … over 200 across the state,” Henry said. He added that on average, those enrolling in the exchange plans called three times with the typical call lasting nine minutes for a total of about 27 minutes with a BCBST rep explaining insurance options and how they work.

While websites have many answers, the phone calls … and a preference by many for face-to-face assistance … led BCBST to recently announce they will open a bricks-and-mortar center in Nashville. “There’s still a lot of available market in Nashville,” he pointed out of room for growth.

Henry said the information center, which is expected to be open in time for the 2015 enrollment period, would be located in a target area where there are significant rates of uninsured individuals in need of information. At this time, however, an exact location has not been named. Additionally, the insurer will use a mobile unit to reach policyholders and potential customers throughout the state.

Henry noted BCBST recognizes the important role providers play in helping educate individuals about the marketplace. He said BlueCross representatives were happy to meet with healthcare groups to answer questions and offer background information on the federal exchange and efforts to get coverage for the state’s uninsured.

“The most important thing about our results is that thousands of previously uninsured Tennesseans now have the peace of mind that goes along with health coverage,” Henry stated. “We had ambitious goals and exceeded them, which is good for Tennesseans … both the people who now have coverage and the healthcare providers who care for them.”