BlueCross BlueShield of Tennessee is one of the largest health insurance companies in the United States. It recently announced the closure of its Chattanooga headquarters, resulting in the layoff of 150 employees. According to Dalya Qualls White, these changes will take place from September and early next year 2026. , which sells plans for Medicaid- and Micare-eligible individuals, has proceeded to wind down operations of the Shared Health subsidiary, as the company did not see it economically viable to continue down this path.
According to the Chattanooga Area Chamber of Commerce, Blue Cross employs more than 4,188 employees and, through Shared Health, has sold plans in Mississippi and Texas. The company has stated that in the wake of the pandemic it has opted for a remote work model, but will continue to offer its services through its web portal.
BlueCross BlueShield of Tennessee
It is the largest health plan company in the state of Tennessee. It is a fully independent, not-for-profit organization, governed by its own board of directors. It was founded in 1945, and since then has been helping people build health plans, seeking affordable health care for all.
Shared Health
It is a subsidiary of BlueCross BlueShield of Tennessee. It manages health care programs such as medicare, Medicaid or Long Term Support Services (LTSS). Its mission is to help other companies and organizations build programs for specific populations. In addition, it also collaborates with state and federal governmental entities seeking to incorporate health care programs.
Closing its Chattanooga headquarters
BlueCross Communications Director Dalya Qualls White issued a statement to the press on Wednesday in which she broke the news, “BlueCross BlueShield of Tennessee is liquidating the operations of our Shared Health subsidiary, which sells plans in other states to individuals dually eligible for Medicare and Medicaid.” White was thus reporting that, after years of operating in Cattanooga, BlueCross is set to close the city’s subsidiary headquarters, Shared Health.
He added that it had not been an easy decision, especially having to lay off 150 “talented and dedicated employees who support Shared Health”, who are not protected by a collective bargaining agreement.The company no longer sees it profitable to continue down this path, which is why they have decided to close it.
What will happen now with the active plans?
White clarified that he will continue to support the more than 5,500 people in Mississippi and Texas who have contracted services with the company. They will do so until the end date of the terms. How will these people be served if the physical office ceases to exist? White also answered that question. He explained that all members will be able to receive assistance regarding additional coverage on their customer service line.
Although the changes are expected to be implemented beginning this September, those members who have BlueCross coverage. According to the Chattanooga Area Chamber of Commerce, BlueCross is among the top 10 employers with approximately 4,188 employees. Also, remember that Shared Health sells health plans in Mississippi and Texas.The Chattanooga Times Free Press quoted White as explaining that in 2009, Shared Health located its headquarters on a hill overlooking the city, but soon that facility will be vacated for someone else to occupy and enjoy its beautiful views. In addition, according to an annual report, the company paid more than $20,000 meeting the needs of 3.4 million users last year.
Because of all this, and since the pandemic, the company has seen telecommuting as an opportunity to focus, avoiding the costs of a physical office in each new location. In fact, since 2020, only hundreds of employees have been going to a physical office, while the rest work remotely, serving the needs of members and new users with the same quality and efficiency.