Blue Cross of California to Offer Large Employer PPO

October 2, 2002 ( - Blue Cross of California has unwrapped Power HealthFund PPO (preferred provider organization) for large employers with 500 or more employees on both an administrative services only and an insured basis.

According to a company announcement, the PPO coverage options will be offered by Blue Cross of California and its California affiliate, BC Life & Health Insurance Company. Additionally, the companion Health Reimbursement Arrangement (HRA) and Flexible Spending Account (FSA) administration will be offered by BC Life & Health Insurance Company.

The products will be available in late October and new programs will be effective January 1, 2003.

The Power HealthFund PPO offers a menu of the health care financing features. The product combines a high deductible PPO with a supplemental employer funded HRA, which is an annual fixed amount–or defined contribution–and an optional member-funded FSA.


The basic components of the Power HealthFund PPO include:

  • a high deductible PPO ranging from $1,000 to $5,000
  • an employer funded Health Reimbursement Arrangement (HRA)
  • an employee funded Flexible Spending Account (FSA)
  • web-based HRA and FSA personal account management tools
  • consumer information.