Which of the following statements about Blue Cross and Blue Shield plans is NOT true?

The statement regarding Blue Cross and Blue Shield plans being exempt from insurance regulations is not true. In reality, these plans are subject to a range of insurance regulations which vary by state and can include licensing, solvency requirements, and consumer protection laws. These regulations are in place to ensure that these organizations operate fairly and maintain financial stability to meet the health care needs of their members.

In contrast, the other statements accurately reflect the functioning of Blue Cross and Blue Shield. Blue Cross is primarily associated with hospital benefits, providing coverage for inpatient and outpatient services. Blue Shield, on the other hand, primarily provides benefits for physician services, encompassing outpatient care and professional services rendered by physicians. Moreover, the non-profit status of these organizations enables them to focus on providing affordable healthcare rather than on generating profit for shareholders, which aligns with their foundational mission. Therefore, the claim regarding exemption from insurance regulations is the only one that does not hold true.