CHAPEL HILL, N.C. – Blue Cross and Blue Shield of North Carolina (BCBSNC) ended 2013 with more customers and continued investment in technology and infrastructure. Stronger performance in the company’s investment portfolio moved BCBSNC’s net income ratio to 1.4 percent.

 “In a challenging year for the healthcare industry, our company provided value for our customers by investing in technology and bringing new products and services to the market to meet our increasingly diverse customers’ health care needs. In addition, our network discounts with doctors and hospitals saved them over $5.7 billion on health care expenses,” said Brad Wilson, BCBSNC president and CEO. 

Financial Results*




$6.4 billion

$5.8 billion

Consolidated Net Income

$92.6 million

$57.7 million

Net Income Ratio

1.4 percent

1.0 percent

Taxes (Federal, State, Local)

$118.3 million

$92.1 million

Claims and Medical Expenses

$5 billion

$4.5 billion

Claims Volume

50 million

48.1 million

Medical Care Ratio

85.9 percent

86.1 percent

Months in Reserve

4.9 months

4.7 months

Membership (including Blue Card®)

3.84 million

3.75 million

*Financial results, excluding months in reserve, are GAAP consolidated results.

Factors contributing to net income were continued investments in technology and infrastructure including preparation for the Affordable Care Act and investment portfolio performance.

Revenues increased nearly 11 percent to $6.4 billion in 2013.  

Claims and medical expenses were $5 billion, an increase of nearly 11 percent over last year.  Claims volume increased to over 50 million compared to 48.1 million in 2012.

During 2013, BCBSNC spent 85.9 cents per premium dollar on the medical care of its customers a level similar to 2012 when the company exceeded federal standards by $260 million.  Most of the remainder of the premium dollar went toward customer service and information technology.

Medical trend for fully-insured members was down from last year at 2.9 percent. Procedures that led medical expense trends were orthopedics, cancer, obesity surgery, pregnancy and maternity services, gastroenterology and the lengthy and severe flu season. In addition, pharmacy costs reflected lower utilization in general and an increase in generics usage.

As a fully-taxed company, BCBSNC incurred nearly $118.3 million in local, state and federal taxes in 2013.

The company’s overall membership grew this past year to 3.84 million customers. This includes over 1.0 million members served on behalf of other Blue plans.


Blue Cross and Blue Shield of North Carolina is a leader in delivering innovative health care products, services and information to nearly 3.84 million members, including approximately 1 million served on behalf of other Blue Plans. For over 75 years, the company has served its customers by offering health insurance at a competitive price and the people of North Carolina through support of community organizations, programs and events that promote good health. Blue Cross and Blue Shield of North Carolina was recognized as one of the World’s Most Ethical Companies by Ethisphere Institute in 2012 and 2013. Blue Cross and Blue Shield of North Carolina is an independent licensee of the Blue Cross and Blue Shield Association. Visit BCBSNC online at All other marks are the property of their respective owners.