NC Insurance Commissioner calls for Blue Cross CEO to resign

CHARLOTTE, N.C. (WBTV) - North Carolina Insurance Commissioner Mike Causey called on the CEO of Blue Cross Blue Shield of North Carolina to resign on Wednesday.

Causey said Patrick Hugh Conway, a medical doctor who heads the insurance behemoth, should resign following an arrest this past June on charges that included driving while impaired and child abuse.

The arrest first surfaced last week. Initially, Conway’s arrest was passed off by the company’s leaders as routine.

But video obtained by WBTV shows Conway driving erratically before side-swiping a tractor trailer.

Conway’s criminal charges are still pending and he has not pleaded guilty to any crime. He is scheduled to appear in court on October 8.

Wednesday morning, Causey accused the BCBSNC board of covering up the seriousness of Conway’s arrest and said the incident should have been reported to regulators.

“I consider this a breech of trust and we cannot move forward with this CEO,” Cause said of Conway’s arrest and the company’s failure to report both the incident and Conway’s conduct as alleged by police.

Causey called on Conway to be removed as CEO immediately.

“I do not take this action lightly,” Causey said. “It pains me greatly.”

During his press conference, Causey noted the incident and the way in which it was handled by BCBSNC has garnered attention from other state insurance commissioners.

The company was in the process of merging with an Oregon-based insurance company at the time of Conway’s arrest.

That merger has been put on hold amid additional scrutiny from insurance commissioners in both Oregon and Washington, where Cambia also does business.

The insurance commissioner in Washington has also accused the companies of failing to report the incident to him, as required.

As Causey’s press conference ended, the future of who would lead the company that provides healthcare coverage for many North Carolinians was uncertain.

“This affects millions of people in North Carolina,” Causey noted.

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