Blue Cross and Blue Shield insurer Health Care Service Corp. has appointed a new chief financial officer and chief legal officer.
Eric Feldstein was named CFO, replacing longtime finance chief Ken Avner, who retired but is staying on temporarily as a special adviser. Feldstein most recently was an executive vice president at credit card conglomerate American Express Co.
HCSC's new top legal executive is Blair Todt, who is leaving WellCare Health Plans, a for-profit, publicly traded company based in Tampa, Fla. Todt, who made $1.4 million last year as WellCare's chief legal and administrative officer, will head to the Chicago-based HCSC later this month.
Feldstein and Todt join a new regime headed by President and CEO Paula Steiner at HCSC, the parent company of not-for-profit Blues plans in Illinois, Montana, New Mexico, Oklahoma and Texas. Steiner took the top spot at the beginning of this year to succeed longtime head Patricia Hemingway Hall, who retired.
HCSC ended 2015 with $31.2 billion in revenue from its fully insured business. While the Blue Cross and Blue Shield affiliate still remains a profitable fixture in employer plans, especially in Illinois and Texas, it has struggled mightily in the opening years of the Affordable Care Act's exchanges.
HCSC has lost more than $2 billion in the first two years of the marketplaces. Avner told Modern Healthcare earlier this year that the extension of noncompliant ACA plans and a lack of full risk-corridor funding crippled their individual-market plans, which enrolled many sicker-than-expected enrollees.