Blue Cross Offers New Health Plans Aimed at Half a Million Uninsured Small Businesses in California.

THOUSAND OAKS, Calif. -- Blue Cross of California (Blue Cross) hopes to reach an estimated 500,000 uninsured small businesses through BeneFits, a separate, distinct portfolio of five small-employer health plans for California businesses with 2 to 50 employees. BeneFits, offered through Blue Cross or its affiliate BC Life & Health Insurance Company, addresses the obstacles that California employers face when trying to offer health coverage to their employees.

Almost 19 million Californians receive health insurance through employer-sponsored benefits. Still, California has a higher portion of uninsured and lower rates of employer-based coverage than the nation. Employers report that cost, complexity and understanding insurance have made the path from uninsured to insured difficult. Using this feedback, Blue Cross has created a portfolio that is unlike any other offered in California.

"Segments of the uninsured, such as small business owners and employees, have unique challenges and needs," said Brian Sassi, general manager of Small Group services for Blue Cross. "BeneFits is designed to make qualification and administration of employer-sponsored coverage easier and more affordable by providing options that were previously unavailable."

According to a Small Employer Health Benefits Survey, 63 percent of uninsured businesses cite "affordability" as a major reason for not offering health benefits. "With BeneFits, we knew that we had to have a solution for the business owner and employee," said Melissa Hall, director of Product and Service Innovation for Blue Cross of California. "For example, in Los Angeles, prices for a 29-year-old begin at just $58 a month. For an employer, this means their contribution could be less than $15 a month."

Additional solutions through BeneFits include:

--Employer contributions are half of the industry average, beginning at 25 percent or $50 per month;

--Employee participation requirements are reduced to 60 percent (15 percent less than the traditionally 75 percent participation requirement);

--Coverage is guaranteed (you cannot be turned down due to health reasons);

--Rates are guaranteed for 12 months;

--Savings on integrated Workers' Compensation (approximately 10 percent);

--Potential reduction of payroll taxes;

--Coverage options for part-time employees.

A companion statewide education campaign is also underway to dispel myths regarding employer-sponsored benefits. Blue Cross and the U.S. Small Business Administration recently announced a collaboration to bring assistance and education to small businesses throughout Southern California. In addition, a new Web site, www.mybccbenefits.com, has been launched to better assist businesses with the task of understanding and securing health care coverage.

The BeneFits portfolio offers four Preferred Provider Organization (PPO) plans and one Health Maintenance Organization (HMO) plan. The plans provide a choice of deductibles and coverage levels, free wellness programs, discounts for health-related products and services and other valuable lifestyle resources. Premiums may vary by employee plan selection, age, county of residence and other factors.

For more information on BeneFits from Blue Cross employers can contact their local agent, call toll free at 1 800-999-2273 or visit www.mybccbenefits.com. To review small business health insurance facts and access video or audio highlighting Blue Cross' health plans, please visit the Blue Cross Newsroom at www.bluecrossca.com, "Newsroom" and click on "Press Releases."

Blue Cross of California is one of the state's largest health insurers and together with its California affiliates, the company serves more than 7.6 million medical members. Headquartered in Southern California, Blue Cross of California offers a flexible product portfolio with a broad range of options for small, medium and large groups, as well as individual plans for people without access to group coverage, seniors and consumers who are eligible for state sponsored programs. Blue Cross of California is an operating subsidiary of WellPoint, Inc., the nation's largest publicly traded commercial health benefits company serving the health care needs of approximately 28 million medical members nationally. Blue Cross of California is an independent licensee of the Blue Cross Association and can be found on the web at www.bluecrossca.com.