BLUE CROSS AND BLUE SHIELD
OF NORTH CAROLINA

Case Study

Blue Cross North Carolina Challenges

Blue Cross and Blue Shield of North Carolina (Blue Cross NC) is a not-for-profit health insurer in North Carolina, committed to improving health care for all. As the leading provider in all 100 North Carolina counties, Blue Cross NC has built strong relationships with communities across the state. However, with the increase in competition in recent years, Blue Cross NC needs to protect and build upon its local advantage to stay ahead in the market.

Protecting and Building upon Local Advantage in an Increasingly Competitive Market

Blue Cross NC faces a challenge of protecting and building upon their local advantage in an increasingly competitive market. With the rise of competitors in the health insurance industry, Blue Cross NC wishes to leverage their local advantage and differentiate themselves from their competitors to maintain their market position.

Increasing Brand Awareness by Connecting with Potential Members Early

To increase brand awareness and stay ahead of the competition, Blue Cross NC must connect with potential members early in their decision-making process. By participating in conversations about consumers' health and interests, they can establish themselves as a trusted and reliable health insurer, and increase awareness of their services. In other words, Blue Cross NC hopes to show up in the market before "shopping" for health insurance even begins.

Making Health Insurance Accessible and Understandable to Members

Research suggests nearly half of insured members believe health insurance is too complicated and too expensive. They don’t trust health insurance companies and are resistant to interacting with their insurer. Blue Cross NC faces the challenge of members finding health insurance too complicated and expensive, leading to a lack of trust and resistance to interact with their insurer. Blue Cross NC must find ways to make health insurance more accessible and easier to understand for their members.

Observations & Analysis

Underserved communities face a variety of barriers that contribute to their lack of health insurance literacy, such as such language barriers, limited access to education, and a lack of resources.

A pin on a map and an definition of underserved communitites

Nonelderly Uninsured Population: People of Color (%)

People of color make up roughly 45% of the nonelderly U.S. population but accounted for 61% of the total nonelderly uninsured population.

Uninsured Population in Households with Limited English Proficiency (%)

Up to 69% of the uninsured population reside in households in which adults have limited English proficiency

Hispanic Representation in Nonelderly Uninsured Population (%)

Hispanic people are disproportionately accounting for 39% of the nonelderly uninsured population

In 2020, only 50% of Hispanics had private insurance coverage, as compared to 74% of non-Hispanic whites.

What are the factors contributing to the disproportionate rate of health uninsurance among Hispanics?

Members of the Latinx community are less likely to obtain health insurance from their employers - the most common source of obtaining health coverage. This stems from the fact that Latinx members more often work in industries that do not offer health coverage. Many times, even if health insurance is offered by their employer, they are less likely to be eligible for it.

This trend is reflected in North Carolina counties

It has been observed that counties with the highest rates of uninsured individuals also tend to have high rates of marginalized communities, with some of the largest Hispanic and African American populations.

Recommendations

Introducing health insurance literacy classes in underserved counties reaches a vast new uninsured market

Recommending the Blue Cross NC Health Insurance Literacy Tour. The Health Insurance Litearcy Tour is largely inspired by the recent Extra Miles Tour initiative that Blue Cross NC has taken on. This community outrach program is a next step in the Extra Miles Tour and aims to provide health insurance literacy classes to the most uninsured counties in North Carolina, focusing on underserved communities who lack health insurance. To tackle the language barrier, we propose providing bilingual assistance in counties with predominantly Hispanic or other non-english communities. The goal is to increase enrollment in health insurance plans and build trust and engagement with potential customers.

Connecting with underserved communities will grealtly align with Blue Cross NC's values and mission.

Community

Blue Cross NC's visits to underserved communities for health insurance literacy classes reinforces the company's commitment to local communities.

Awareness

By expanding its reach to underserved communities, Blue Cross NC can increase brand awareness among a new customer base.

Health Equity

Blue Cross can further demonstrate its dedication to diversity, equity, and inclusion values and promote health equity for all North Carolinians.

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