News Releases for January 2006
January 27, 2006
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Hoeven Announces Children's Immunization Plan
BCBS And State To Partner On Plan To Ensure Universal Children's Vaccinations
BISMARCK, N.D. - Governor John Hoeven today announced a partnership between the North Dakota Department of Health and Blue Cross Blue Shield of North Dakota designed to ensure continued vaccination coverage of North Dakota’s children.
Federal funding for immunizations has not kept pace with the rising cost of vaccines, and in addition, the recommended number of immunizations for children has increased, according to Hoeven. In an agreement with the Department of Health, Blue Cross Blue Shield will provide approximately $3 million per year to bridge the gap, but will realize savings through a bulk purchase by the state to ensure that all of its members have access to vaccine.
“Nothing is more important than our children’s health, and that begins with good care from the beginning of life, including immunization,” Hoeven said. “In this new partnership, Blue Cross Blue Shield and the Department of Health will work together to cover the funding gaps, helping to ensure that vaccine is available for every North Dakota child.”
North Dakota is one of only 11 states that provide “universal vaccination coverage” for its children. That means that the state purchases recommended vaccines and makes them available to all North Dakota children at no charge. Since 1999, the cost of vaccine has increased 225 percent, while federal funding has increased only 50 percent. In addition, the U.S. Department of Health and Human Services Advisory Committee on Immunization Practices recommends that children today be vaccinated against 14 diseases, compared to 10 diseases in 1999.
In 2005 Blue Cross Blue Shield contributed about $179,000 to cover a shortfall in federal vaccination funding. Since then, Blue Cross and the Department of Health have formed a partnership to ensure that all North Dakota children receive vaccinations. Blue Cross will reimburse the state for vaccine the state is able to acquire at a reduced rate for children insured by the company. This allows the Department of Health to use federal dollars to purchase vaccine at a reduced rate for children whose immunizations are not covered by Blue Cross or other insurers. The partnership between Blue Cross Blue Shield and the Department of Health will result in significant cost savings and will ensure continued universal vaccine coverage.
“On behalf of the children of North Dakota, I would like to thank Blue Cross Blue Shield for partnering with us in this important venture,” said State Health Officer Terry Dwelle, M.D. “As more insurance data becomes available, the Department of Health will identify other companies that provide medical coverage to North Dakota children and will encourage them to become partners, as well.”
Studies show that immunizations not only save lives, but also are very cost-effective. For example, every dollar spent on the diphtheria, tetanus and pertussis vaccine saves 27 dollars in medical costs.
“We consider provision of cost-effective immunization services to our members as very important,” said Dr. Jon Rice, senior vice president and chief medical officer for Blue Cross Blue Shield of North Dakota. “Beyond reimbursing the Department of Health for vaccines received by our members, Blue Cross will be reviewing its benefit structure for the provision of immunization services. We look forward to this new level of involvement with the Department of Health.”
“I commend the Department of Health and Blue Cross Blue Shield for working together for the health of our children,” Hoeven said. “This partnership guarantees cost-effective vaccination coverage for all our kids – and that means everyone wins.”
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