Vet News: Blue Shield of California Begins Service to Nearly 900,000 Military Family Members

U.S. military personnel and their dependents will begin accessing health care services through Blue Shield of California from a network that includes more than 26,000 hospitals, physicians and other health care providers, effective July 1, 2004.

Through a multi-year contract awarded by the U.S. Department of Defense (DOD) to TriWest Healthcare Alliance under the TRICARE (formerly CHAMPUS) program, more than 875,000 military men and women, retirees and eligible family members throughout California will be able to use the provider network that Blue Shield created specifically for TRICARE.

Blue Shield was selected to develop and manage a comprehensive network of physicians and hospitals for TriWest’s TRICARE business in California last August, after the DOD approved the expansion of TriWest’s service area. The decision was based on the not-for profit company’s extensive presence in California, its strong network and its commitment to quality and service.

"We are pleased to serve our country’s active and retired military families throughout California," said Bruce G. Bodaken, Chairman and CEO of Blue Shield of California. "Family members of the U.S. Armed Forces deserve the best possible care during this difficult time."

TRICARE is an eight-year-old outgrowth of the Civilian Health and Medical Program of the Uniformed Services, or CHAMPUS, which was created in 1956 to expand healthcare coverage to military retirees and the families of active-duty personnel. TRICARE moved the program forward by establishing government contracts with private health plans that could bring the efficiencies of managed care to the military health system, while supporting and enhancing military readiness in times of war or national emergency.

TriWest Healthcare Alliance was formed from an alliance of 11 Blue Cross Blue Shield plans and two university hospitals expressly to bid on the first generation of TRICARE contracts. It began operations in 1996 when it was named one of four managed-care support contractors for the military health system and awarded a $2.5 billion, five-year contract. Currently operating under a five-year, $10 billion Defense Department contract awarded last August, TriWest’s service area has expanded from 16 to 21 western states that include Alaska, Arizona, California, Colorado, Hawaii, Idaho, Iowa, Kansas, Minnesota, Missouri, Montana, Nebraska, Nevada, New Mexico, North Dakota, Oregon, South Dakota, west Texas, Utah, Washington and Wyoming.

"We look forward to working with Blue Shield of California, a leading, not-for-profit healthcare company with a very strong provider network," said David J. McIntyre, Jr., TriWest president and chief executive officer. "They will be instrumental in helping us provide superior customer service to some 875,000 TRICARE-eligible beneficiaries, all members of America’s military family, throughout California."

SOURCE: PRNewswire