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Historical Highlights — 1980s

1981


House Bill 4555 becomes Public Act 350.



1985


State Supreme Court rules PA 350 legal.



1986


In accordance with the terms defined by PA 350, BCBSM takes action to restructure the board with 35 members. Seventy-five percent of the board members represent customer-subscribers.


Law revising federal tax codes eliminates exemption of Blue Cross and Blue Shield plans. They are taxable as "stock, property and casualty insurance companies."


BCBSM offers experience rated group, Triple Option, an opportunity to purchase a combination of Traditional, HMO or PPO products for employees.


BCBSM is awarded contract to administer health care benefits for state employees.



1987


BCBSM removes cigarette vending machines from its buildings as part of its commitment to a smoke-free work environment.



1988


The McNary Center is opened in downtown Detroit to provide facilities for a senior services center as well as a child care center for employees' children.


Richard E. Whitmer is named President and Chief Executive Officer.



1989


BCBSM offers hospitals a new reimbursement contract that replaces the cost-based global payment system with a fixed-payment per case system. Eventually, all community hospitals in the state agree to participate.