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BCBS Massachusetts Signs Five-Year Agreement with IBM

The insurer has contracted IBM to redefine its IT department, according to the companies.

Blue Cross Blue Shield of Massachusetts has signed a five-year services agreement with IBM. Terms of the deal were not disclosed.

Over the course of the contract, IBM will optimize the technology environment for BCBSMA including end-user technical support for employees and management of the organization's data center operations and applications portfolio to enhance the organization's IT operational processes. Additionally, IBM will host BCBSMA's external Web site,, which services its nearly 3 million members.

BCBSMA’s goal is to create a technology environment that can respond to the rapid changes and growth in health care, according to the companies.

"We are changing the methods in which we make decisions on where and how to invest in technology for the benefit of our members and accounts," Bill Fandrich, CIO of BCBSMA, says in a statement. "IBM has demonstrated it has the capabilities, skilled workforce and shared vision in healthcare technology services to provide the model we need to optimize and better manage the key infrastructure and core processing systems that are the engines of our business."

Earlier this year, IBM worked with BCBSMA to develop of a new portal giving members easier entry into the Web site and secure access to personalized plan information. The company also signed a seven-year IT infrastructure contract with South Korea’s Dongbu Insurance earlier this year.

Last year, IBM acquired two analytics providers, SPSS and RedPill Solutions.

Nathan Golia is senior editor of Insurance & Technology. He joined the publication in 2010 as associate editor and covers all aspects of the nexus between insurance and information technology, including mobility, distribution, core systems, customer interaction, and risk ... View Full Bio

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