Since its beginnings, Blue Cross and Blue Shield (BCBS) has shaped the history of the health care industry through innovation and leadership. Today, BCBS continues to transform health care with the same spirit of innovation that has improved the lives of generations of Americans.
Leading the Way in Health Insurance
Blue Cross: Shaping health care since 1929
Blue Cross began when Baylor University hospital administrators were seeking a way to make health care more affordable for their patients. The Baylor Plan provided up to 21 days of coverage for hospitalization annually if patients prepaid 50 cents a month. It was an immediate success, soon enrolling employees across the city.
Blue Shield: Supporting America’s workers from the start
Faced with rampant illness and occupational hazards, Pacific Northwest loggers and miners of the early 1900s required substantial medical care to stay healthy and productive. Their employers organized plans to provide medical services for a monthly fee.
Our History
Parallel Paths to the Same Goal
Through the 1930s and 1940s, BCBS’s innovative approaches to health care options caught on across the country.
Together, BCBS grew to encompass 81 hospital plans and 44 medical plans. The two companies began to unify in the 1940s and set up agreements that ensured more comprehensive coverage nationwide for the 24 million members of both plans
Health Care Coverage at the National Level
BCBS became a leader in administering new federal programs.
Before the first open enrollment in 1960, the BCBS Federal Employee Program (FEP) had already enrolled 33 percent of federal employees. And when Medicare was signed into law in 1966, BCBS companies seamlessly processed the claims of nearly 5 million Medicare patients.
Challenges Faced and Overcome
In 1978, the Blue Cross Blue Shield Association consolidated staff and operations.
The Blue Cross Blue Shield Association was formed in 1982. BCBS persevered through economic turbulence and increased competition, with a focus on expanding member services with innovative programs. By the late 1990s and early 2000s, enrollment topped 100 million members.
Today, with growth, stability and innovation, BCBS continues to be the name generations can count on — as they have for more than 80 years.