News Headlines Article

State Pressured To Explain Why it Revoked Blue Shield Not-for-Profit Status
California Healthline

A consumer advocacy organization has launched a campaign to get state officials to explain why they revoked Blue Shield of California’s not-for-profit status last year. Consumer Watchdog also wants the state to explain why Californians didn’t learn of the decision for seven months.

The California Franchise Tax Board decided in August that Blue Shield of California, the state’s third-largest health insurer, no longer qualified as a not-for-profit company. The decision was noted in government records but the public didn’t hear about it until March this year when a newspaper reported the change.