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The BlueCross and BlueShield logos hang on the company's old building in downtown Chattanooga.BlueCross BlueShield of Tennessee will continue to handle claims and insurance administration for nearly 42,000 TVA employees, retirees and their family members under a $904 million contract approved this week by directors of the Tennessee Valley Authority.
TVA directors approved a three-year administrative services contract with BlueCross, which was picked over rival bidders to provide health care coverage for workers and their dependents.
BlueCross, which has handled TVA's health plans since 1960, submitted the lowest bid and TVA then negotiated a $2.6 million reduction from the initial offer, TVA spokeswoman Barbara Martocci said.