Blue Cross Blue Shield of Minnesota lays off 100 people

Blue Cross Blue Shield of Minnesota has laid off 100 people, mostly from its information technology department.

The insurer needed to cut costs to offset flat enrollment and a weak economy, said spokeswoman Pam Lux. The company also trimmed staff in operations and administrative support. All of the workers will receive severance packages, she said.

Blue Cross Blue Shield, which employs 4,000 people, currently enrolls 2.8 million customers, about the same as last year. Overall enrollment in the state was up 2.6 percent to 4.3 million, according to the Minnesota Council of Health Plans.

For 2008, Blue Cross Blue Shield, the state's largest insurer, reported a net loss of $15.7 million on revenue of $8.8 billion, almost all because of investment losses.

THOMAS LEE