Medical Technology Evaluation and Coverage

Abstract

The Blue Cross Association was established in 1948 as a national organization representing nonprofit state and local insurance plans that offered Blue Cross coverage for hospital services. Two years earlier, the National Association of Blue Shield Plans (NABSP) had been established to represent nonprofit state and local plans that offered Blue Shield coverage for physician services. In 1982, the Blue Cross Association merged with NAPSP to form the Blue Cross and Blue Shield Association. The merger reflected a systemwide trend of state and local Blue Cross Plans merging with Blue Shield Plans to enhance their responsiveness to account expectations. Today, the Blue Cross and Blue Shield Association provides advice and services to 78 state and local Blue Cross and Blue Shield plans. With each plan serving an average of one million subscribers, the collective sum of 78 million Blue Cross and Blue Shield subscribers makes Blue Cross and Blue Shield the largest private health insurer in the United States. In 1986, Blue Cross and Blue Shield plans paid a total of $40.6 billion in claims.