North Carolina Gov. Roy Cooper signed a bill allowing Blue Cross Blue Shield of North Carolina to reorganize as a nonprofit holding company.
The legislation allows Blue Cross NC to create a new deregulated holding company to which it can move assets. This will allow the parent holding company to invest and acquire other healthcare companies with less oversight from the state insurance department.
"Our goal is comprehensive health insurance with access to care in every county of our state at the most affordable cost possible, and this legislation with consumer protections in place aims to keep the company strong while continuing its commitment to its North Carolina home," Mr. Cooper said in a June 10 news release.
Blue Cross NC representatives previously said the reorganization is necessary to allow it to compete with for-profit insurers.
"We are proud to work in partnership to make healthcare more affordable, easier to navigate and accessible for all North Carolinians. Blue Cross NC will continue to listen to and support the communities we serve, looking at ways to bring the right solutions and meaningful partnerships to support our customers and our state’s economy," a spokesperson said in a statement shared with Becker's.
North Carolina Insurance Commissioner Mike Causey opposed the reorganization. In a May 4 news release, Mr. Causey called the bill a "sure way to raise health insurance premiums for Blue Cross NC policyholders."