CONTACT: Jenna McPhee
Study Finds Sustained Benefit in Employment, Taxes and Giving
BOSTON December 16, 2010 Blue Cross Blue Shield of Massachusetts (BCBSMA) contributed nearly $1.6 billion to the Commonwealth's economy last year, supporting more than 5,800 jobs, nearly $7.5 million in philanthropy and more than $196 million in total revenue for the state government.
A study conducted by Tripp Umbach, the leading provider of economic impact analysis, provided an updated look on how BCBSMA served as a community contributor and employer in the Commonwealth in 2009.
"Blue Cross Blue Shield of Massachusetts has, over the last seven decades, built a strong legacy as a dedicated health and community leader," said Andrew Dreyfus, BCBSMA's President and Chief Executive Officer. "We commissioned this report to get a more complete understating of how we are serving the Commonwealth. We are pleased to see the significant contributions the company and its associates make to support the community we serve."
In 2009, the company's economic impact in Massachusetts included $683.8 million in direct benefits and $888.9 million in indirect benefits from businesses and individuals that work with BCBSMA.
BCBSMA supported 5,846 full-time jobs employing a diverse group of workers, with 3,654 of those employees working at Blue Cross offices throughout Massachusetts. Through community work and direct contributions to local charities, BCBSMA employees donated nearly $7.5 million to help make a difference in the cities and towns of the Commonwealth.
BCBSMA also generates a substantial amount of revenue for the state government. The report found that in 2009, BCBSMA contributed a total of $196.3 million in direct and indirect revenue to the state. This revenue includes $35.5 million in direct tax payments, $79.4 million in indirect taxes and $81.4 million for the Health Safety Net Trust Fund (formerly the uncompensated care pool). BCBSMA also paid $27.6 million in taxes to the federal government, which consisted of $8.3 million in federal income tax and $19.3 million in FICA tax.
In addition, BCBSMA endows the Blue Cross Blue Shield of Massachusetts Foundation, one of the largest private health foundations in the state, allowing BCBSMA to build upon its commitment to give back to the local and statewide community. In 2009, the Foundation awarded almost $4.1 million in grants to community-based organizations. Since its inception in 2001, approximately $36 million in charitable contributions to 300 organizations that expand access to health care for low-income, vulnerable and uninsured residents were made.
About Blue Cross Blue Shield of Massachusetts
Blue Cross Blue Shield of Massachusetts (www.bluecrossma.com) was founded 73 years ago and is now the largest private health plan in the state, providing coverage to nearly 3 million members. BCBSMA believes in working with physicians, hospitals, employers and the broader community to provide quality, affordable health care in Massachusetts. Blue Cross Blue Shield of Massachusetts is an independent licensee of the Blue Cross Blue Shield Association.