TRENTON – Senator Barbara Buono today called for a State investigation of the business practices of Horizon Blue Cross-Blue Shield to determine whether the billion-dollar-plus capital reserve account of the nonprofit health services corporation is consistent with its charitable mission.
Citing its favorable state and federal tax treatment, Senator Buono said Horizons massive accumulation of reserve capital raises “grave concerns” that the nonprofit corporation departed from its mission to function “for the benefit of the community as a whole.”
In a letter (attached) to Acting Banking and Insurance Commissioner Donald Bryan, Senator Buono said she was making a formal request that he examine whether Horizon’s business practices are consistent with its authority to function as a nonprofit.
Citing Horizon’s intent to raise rates for policyholders in the individual market by 79 percent and the lack of health insurance for more than one million New Jerseyans, Senator Buono said it appeared “self evident” that the company has abandoned its community service mission to “increase access and availability of health care.”
Senator Buono, D-Middlesex, is a key member of the Senate’s Budget and Appropriations and Health, Human Services and Senior Citizens committees.
CLICK HERE TO READ SENATOR BUONO’S ARTICLE TO ACTING COMMISSIONER BRYAN CALLING FOR AN INVESTIGATION OF HORIZON’S BUSINESS PRACTICES