Blue Cross wins state contract

The governor’s Cover Tennessee program will offer participants two insurance options featuring separate benefit packages.

Of the five proposals submitted by insurance companies, the contracts were awarded to Blue Cross Blue Shield Plan B and Blue Cross Blue Shield Plan A. Each plan covers basic health services, with an emphasis on primary and preventive care.

“This is a real win for the people purchasing this insurance,” Bredesen said.

Cover Tennessee intends to help low-income workers get basic health coverage. Workers employed by participating small businesses ? those with no more than 25 workers, at least half of whom earn less than $41,000 per year ? will be eligible when the program gets under way next year.

Gary Selvy, state director of the National Federation of Independent Businesses, said he believed small businesses would be receptive to the benefit packages.

“We’re going to go to our membership statewide and see if this is something that they’re really going to embrace,” Selvy said. “We think so. The feedback that we’ve been given so far as we’ve been going around the state is this is exactly what small businesses in Tennessee have been looking for.”

The plan calls for the state, workers and participating employers to each pay one-third of the average monthly premium of $150. Under the Blue Cross plans, officials said, $140 of that amount will go toward benefits.

Individuals will have to pay between $34 and $99, depending on such factors as age, weight or tobacco use.

There are no deductibles and co-payments are capped to ensure better access to covered services, officials said.