ST. PAUL, Minn., Nov. 19 /PRNewswire/ -- Blue Cross and Blue Shield of Minnesota and affiliates recently developed and implemented a permanent solution for totally eliminating the use of the social security number as a member identifier. Blue Cross members had expressed their concern about the use of their social security number as an identifier, especially with the rising tide of identity theft. The solution was the development of an alternative identification number system for all Blue Cross members, both individual as well as to group accounts. The complete conversion from social security numbers to unique identifiers took approximately a year with the final conversion taking place Oct. 23 and 24.
“Blue Cross strongly supports the privacy rights of its members and recognized the need for a stronger alternative system,” said Mark W. Banks, M.D., president and CEO of Blue Cross. “The implementation of the unique identifier will better enable us to safeguard member security and comply with new and emerging legislation to protect member privacy.”
Senator Steve Kelley (DFL-Hopkins) was pleased to hear about the conversion efforts at Blue Cross. Two years ago Sen. Kelley and Rep. Jim Davnie (DFL-Minneapolis) introduced a bill to legislation to limit the public use of individual social security numbers as a way to identify individuals. The proposed bill did not pass. Blue Cross felt a change toward a more secure member identification number system was needed sooner as opposed to later.
“The Blue Cross conversion away from using social security numbers is a big improvement for the security of personal identity and the prevention of identity theft,” states Senator Kelley. “I congratulate Blue Cross on the conversion and their effort in this area.”
The U.S. Federal Trade Commission (FTC) says that identity theft is its number one source of consumer complaints. According to the FTC’s figures, identity theft is the most popular form of consumer fraud, in part because it is the most profitable. Nearly $100 million was stolen from financial institutions last year due to identity theft, or an average of $6,767 per victim.
The total cost for Blue Cross to replace social security-based subscriber/member ID numbers was estimated at $4 million. “Blue Cross felt that it was important to respond to this complex issue responsibly,” said Banks. “This way members would be able to feel more at ease and have a stronger sense of security in Blue Cross’ services.”
Blue Cross and Blue Shield of Minnesota, with headquarters in the St. Paul suburb of Eagan, was chartered in 1933 as Minnesota’s first health plan and continues to carry out its charter mission today: to promote a wider, more economical and timely availability of health services for the people of Minnesota. A not-for-profit, taxable organization, Blue Cross is the largest health plan based in Minnesota, covering 2.6 million members in Minnesota and nationally through its health plans or plans administered by its affiliated companies. Blue Cross and Blue Shield of Minnesota is an independent licensee of the Blue Cross and Blue Shield Association, headquartered in Chicago.
Blue Cross and Blue Shield of Minnesota
CONTACT: Jan Hennings, +1-651-662-6139, Pager: +1-612-648-2517, or SarahBach, +1-651-662-1443, both of Blue Cross and Blue Shield of Minnesota