Document:

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                                                                    EXHIBIT 10.8

                                   BLUE SHIELD
                     CONTROLLED AFFILIATE LICENSE AGREEMENT
               (INCLUDES REVISIONS ADOPTED BY MEMBER PLANS THROUGH
                         THEIR MARCH 14, 2002 MEETING)

     This Agreement by and among Blue Cross and Blue Shield Association
("BCBSA") and _______ ("Controlled Affiliate"), a Controlled Affiliate of the
Blue Shield Plan(s), known as _________ ("Plan"), which is also a Party
signatory hereto.

     WHEREAS, BCBSA is the owner of the BLUE SHIELD and BLUE SHIELD Design
service marks;

     WHEREAS, Plan and Controlled Affiliate desire that the latter be entitled
to use the BLUE SHIELD and BLUE SHIELD Design service marks (collectively the
"Licensed Marks") as service marks and be entitled to use the term BLUE SHIELD
in a trade name ("Licensed Name");

     NOW THEREFORE, in consideration of the foregoing and the mutual agreements
hereinafter set forth and for other good and valuable consideration, the receipt
and sufficiency of which are hereby acknowledged, the parties hereby agree as
follows:

1.   GRANT OF LICENSE

     Subject to the terms and conditions of this Agreement, BCBSA hereby grants
to Controlled Affiliate the right to use the Licensed Marks and Name in
connection with, and only in connection with: (i) health care plans and related
services, as defined in BCBSA's License Agreement with Plan, and administering
the non-health portion of workers' compensation insurance, and (ii) underwriting
the indemnity portion of workers' compensation insurance, provided that
Controlled Affiliate's total premium revenue comprises less than 15 percent of
the sponsoring Plan's net subscription revenue.

This grant of rights is non-exclusive and is limited to the Service Area served
by the Plan. Controlled Affiliate may use the Licensed Marks and Name in its
legal name on the following conditions: (i) the legal name must be approved in
advance, in writing, by BCBSA; (ii) Controlled Affiliate shall not do business
outside the Service Area under any name or mark; and (iii) Controlled Affiliate
shall not use the Licensed Marks and Name, or any derivative thereof, as part of
any name or symbol used to identify itself in any securities market. Controlled
Affiliate may use the Licensed Marks and Name in its Trade Name only with the
prior, written, consent of BCBSA.

     2.   QUALITY CONTROL

     A. Controlled Affiliate agrees to use the Licensed Marks and Name only in
connection with the licensed services and further agrees to be bound by the
conditions regarding quality control shown in attached Exhibit A as they may be
amended by BCBSA from time-to-time.

                                                 AMENDED AS OF NOVEMBER 16, 2000

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     B. Controlled Affiliate agrees to comply with all applicable federal, state
and local laws.

     C. Controlled Affiliate agrees that it will provide on an annual basis (or
more often if reasonably required by Plan or by BCBSA) a report or reports to
Plan and BCBSA demonstrating Controlled Affiliate's compliance with the
requirements of this Agreement including but not limited to the quality control
provisions of this paragraph and the attached Exhibit A.

     D. Controlled Affiliate agrees that Plan and/or BCBSA may, from
time-to-time, upon reasonable notice, review and inspect the manner and method
of Controlled Affiliate's rendering of service and use of the Licensed Marks and
Name.

     E. As used herein, a Controlled Affiliate is defined as an entity organized
and operated in such a manner, that it meets the following requirements:

(1) A Plan or Plans authorized to use the Licensed Marks in the Service Area of
the Controlled Affiliate pursuant to separate License Agreement(s) with BCBSA,
other than such Controlled Affiliate's License Agreement(s), (the "Controlling
Plan(s)"), must have the legal authority directly or indirectly through
wholly-owned subsidiaries to select members of the Controlled Affiliate's
governing body having not less than 50% voting control thereof and to:

     (a) prevent any change in the articles of incorporation, bylaws or other
establishing or governing documents of the Controlled Affiliate with which the
Controlling Plan(s) do(es) not concur;

     (b) exercise control over the policy and operations of the Controlled
Affiliate at least equal to that exercised by persons or entities (jointly or
individually) other than the Controlling Plan(s); and

Notwithstanding anything to the contrary in (a) through (b) hereof, the
Controlled Affiliate's establishing or governing documents must also require
written approval by the Controlling Plan(s) before the Controlled Affiliate can:

              (i)    change its legal and/or trade names;

              (ii)   change the geographic area in which it operates;

              (iii)  change any of the type(s) of businesses in which it
                     engages;

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              (iv)   create, or become liable for by way of guarantee, any
                     indebtedness, other than indebtedness arising in the
                     ordinary course of business;

              (v)    sell any assets, except for sales in the ordinary course of
                     business or sales of equipment no longer useful or being
                     replaced;

              (vi)   make any loans or advances except in the ordinary course of
                     business;

              (vii)  enter into any arrangement or agreement with any party
                     directly or indirectly affiliated with any of the owners or
                     persons or entities with the authority to select or appoint
                     members or board members of the Controlled Affiliate, other
                     than the Plan or Plans (excluding owners of stock holdings
                     of under 5% in a publicly traded Controlled Affiliate);

              (viii) conduct any business other than under the Licensed Marks
                     and Name;

              (ix)   take any action that any Controlling Plan or BCBSA
                     reasonably believes will adversely affect the Licensed
                     Marks and Name.

In addition, a Plan or Plans directly or indirectly through wholly owned
subsidiaries shall own at least 50% of any for-profit Controlled Affiliate.

                                       Or

(2) A Plan or Plans authorized to use the Licensed Marks in the Service Area of
the Controlled Affiliate pursuant to separate License Agreement(s) with BCBSA,
other than such Controlled Affiliate's License Agreement(s), (the "Controlling
Plan(s)"), have the legal authority directly or indirectly through wholly-owned
subsidiaries to select members of the Controlled Affiliate's governing body
having more than 50% voting control thereof and to:

     (a)  prevent any change in the articles of incorporation, bylaws or other
          establishing or governing documents of the Controlled Affiliate with
          which the Controlling Plan(s) do(es) not concur;

     (b)  exercise control over the policy and operations of the Controlled
          Affiliate.

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In addition, a Plan or Plans directly or indirectly through wholly-owned
subsidiaries shall own more than 50% of any for-profit Controlled Affiliate.

     3.   SERVICE MARK USE

     A. Controlled Affiliate recognizes the importance of a comprehensive
national network of independent BCBSA licensees which are committed to
strengthening the Licensed Marks and Name. The Controlled Affiliate further
recognizes that its actions within its Service Area may affect the value of the
Licensed Marks and Name nationwide.

     B. Controlled Affiliate shall at all times make proper service mark use of
the Licensed Marks and Name, including but not limited to use of such symbols or
words as BCBSA shall specify to protect the Licensed Marks and Name and shall
comply with such rules (generally applicable to Controlled Affiliates licensed
to use the Licensed Marks and Name) relative to service mark use, as are issued
from time-to-time by BCBSA. Controlled Affiliate recognizes and agrees that all
use of the Licensed Marks and Name by Controlled Affiliate shall inure to the
benefit of BCBSA.

     C. Controlled Affiliate may not directly or indirectly use the Licensed
Marks and Name in a manner that transfers or is intended to transfer in the
Service Area the goodwill associated therewith to another mark or name, nor may
Controlled Affiliate engage in activity that may dilute or tarnish the unique
value of the Licensed Marks and Name.

     D. If Controlled Affiliate meets the standards of 2E(1) but not 2E(2) above
and any of Controlled Affiliate's advertising or promotional material is
reasonably determined by BCBSA and/or the Plan to be in contravention of rules
and regulations governing the use of the Licensed Marks and Name, Controlled
Affiliate shall for ninety (90) days thereafter obtain prior approval from BCBSA
of advertising and promotional efforts using the Licensed Marks and Name,
approval or disapproval thereof to be forthcoming within five (5) business days
of receipt of same by BCBSA or its designee. In all advertising and promotional
efforts, Controlled Affiliate shall observe the Service Area limitations
applicable to Plan.

     E. Controlled Affiliate shall use its best efforts in the Service Area to
promote and build the value of the Licensed Marks and Name.

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     4.   SUBLICENSING AND ASSIGNMENT

     Controlled Affiliate shall not, directly or indirectly, sublicense,
transfer, hypothecate, sell, encumber or mortgage, by operation of law or
otherwise, the rights granted hereunder and any such act shall be voidable at
the sole option of Plan or BCBSA. This Agreement and all rights and duties
hereunder are personal to Controlled Affiliate.

     5.   INFRINGEMENT

     Controlled Affiliate shall promptly notify Plan and Plan shall promptly
notify BCBSA of any suspected acts of infringement, unfair competition or
passing off that may occur in relation to the Licensed Marks and Name.
Controlled Affiliate shall not be entitled to require Plan or BCBSA to take any
actions or institute any proceedings to prevent infringement, unfair competition
or passing off by third parties. Controlled Affiliate agrees to render to Plan
and BCBSA, without charge, all reasonable assistance in connection with any
matter pertaining to the protection of the Licensed Marks and Name by BCBSA.

     6.   LIABILITY INDEMNIFICATION

     Controlled Affiliate and Plan hereby agree to save, defend, indemnify and
hold BCBSA harmless from and against all claims, damages, liabilities and costs
of every kind, nature and description (except those arising solely as a result
of BCBSA's negligence) that may arise as a result of or related to Controlled
Affiliate's rendering of services under the Licensed Marks and Name.

     7.   LICENSE TERM

     A. Except as otherwise provided herein, the license granted by this
Agreement shall remain in effect for a period of one (1) year and shall be
automatically extended for additional one (1) year periods unless terminated
pursuant to the provisions herein.

     B. This Agreement and all of Controlled Affiliate's rights hereunder shall
immediately terminate without any further action by any party or entity in the
event that Plan ceases to be authorized to use the Licensed Marks and Name.

     C. Notwithstanding any other provision of this Agreement, this license to
use the Licensed Marks and Name may be forthwith terminated by the Plan or the
affirmative vote of the majority of the Board of Directors of BCBSA present and
voting at a special meeting expressly called by BCBSA for the purpose on ten
(10) days written notice to the Plan advising of the specific matters at issue
and granting the Plan an opportunity to be heard and to present its response to

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the Board for: (1) failure to comply with any applicable minimum capital or
liquidity requirement under the quality control standards of this Agreement; or
(2) failure to comply with the "Organization and Governance" quality control
standard of this Agreement; or (3) impending financial insolvency; or (4) for a
Smaller Controlled Affiliate (as defined in Exhibit A), failure to comply with
any of the applicable requirements of Standards 2, 3, 4, 5 or 7 of attached
Exhibit A; or (5) the pendency of any action instituted against the Controlled
Affiliate seeking its dissolution or liquidation of its assets or seeking
appointment of a trustee, interim trustee, receiver or other custodian for any
of its property or business or seeking the declaration or establishment of a
trust for any of its property or business, unless this Controlled Affiliate
License Agreement has been earlier terminated under paragraph 7(e); or (6)
failure by a Controlled Affiliate that meets the standards of 2E(1) but not
2E(2) above to obtain BCBSA's written consent to a change in the identity of any
owner, in the extent of ownership, or in the identity of any person or entity
with the authority to select or appoint members or board members, provided that
as to publicly traded Controlled Affiliates this provision shall apply only if
the change affects a person or entity that owns at least 5% of the Controlled
Affiliate's stock before or after the change; or (7) such other reason as is
determined in good faith immediately and irreparably to threaten the integrity
and reputation of BCBSA, the Plans, any other licensee including Controlled
Affiliate and/or the Licensed Marks and Name.

     D. Except as otherwise provided in Paragraphs 7(B), 7(C) or 7(E) herein,
should Controlled Affiliate fail to comply with the provisions of this Agreement
and not cure such failure within thirty (30) days of receiving written notice
thereof (or commence a cure within such thirty day period and continue diligent
efforts to complete the cure if such curing cannot reasonably be completed
within such thirty day period) BCBSA or the Plan shall have the right to issue a
notice that the Controlled Affiliate is in a state of noncompliance. If a state
of noncompliance as aforesaid is undisputed by the Controlled Affiliate or is
found to exist by a mandatory dispute resolution panel and is uncured as
provided above, BCBSA shall have the right to seek judicial enforcement of the
Agreement or to issue a notice of termination thereof. Notwithstanding any other
provisions of this Agreement, any disputes as to the termination of this License
pursuant to Paragraphs 7(B), 7(C) or 7(E) of this Agreement shall not be subject
to mediation and mandatory dispute resolution. All other disputes between BCBSA,
the Plan and/or Controlled Affiliate shall be submitted promptly to mediation
and mandatory dispute resolution. The mandatory dispute resolution panel shall
have authority to issue orders for specific performance and assess monetary
penalties. Except, however, as provided in Paragraphs 7(B) and 7(E) of this
Agreement, this license to use the Licensed Marks and Name may not be finally
terminated for any reason without the affirmative vote of a majority of the
present and voting members of the Board of Directors of BCBSA.

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     E. This Agreement and all of Controlled Affiliate's rights hereunder shall
immediately terminate without any further action by any party or entity in the
event that:

     (1) Controlled Affiliate shall no longer comply with item 2(E) above;

     (2) Appropriate dues, royalties and other payments for Controlled Affiliate
pursuant to paragraph 9 hereof, which are the royalties for this License
Agreement, are more than sixty (60) days in arrears to BCBSA; or

     (3) Any of the following events occur: (i) a voluntary petition shall be
filed by Controlled Affiliate seeking bankruptcy, reorganization, arrangement
with creditors or other relief under the bankruptcy laws of the United States or
any other law governing insolvency or debtor relief, or (ii) an involuntary
petition or proceeding shall be filed against Controlled Affiliate seeking
bankruptcy, reorganization, arrangement with creditors or other relief under the
bankruptcy laws of the United States or any other law governing insolvency or
debtor relief and such petition or proceeding is consented to or acquiesced in
by Controlled Affiliate or is not dismissed within sixty (60) days of the date
upon which the petition or other document commencing the proceeding is served
upon the Controlled Affiliate, or (iii) an order for relief is entered against
Controlled Affiliate in any case under the bankruptcy laws of the United States,
or Controlled Affiliate is adjudged bankrupt or insolvent as those terms are
defined in the Uniform Commercial Code as enacted in the State of Illinois by
any court of competent jurisdiction, or (iv) Controlled Affiliate makes a
general assignment of its assets for the benefit of creditors, or (v) the
Department of Insurance or other regulatory agency assumes control of Controlled
Affiliate or delinquency proceedings (voluntary or involuntary) are instituted,
or (vi) an action is brought by Controlled Affiliate seeking its dissolution or
liquidation of its assets or seeking the appointment of a trustee, interim
trustee, receiver or other custodian for any of its property or business, or
(vii) an action is instituted by any governmental entity or officer against
Controlled Affiliate seeking its dissolution or liquidation of its assets or
seeking the appointment of a trustee, interim trustee, receiver or other
custodian for any of its property or business and such action is consented to or
acquiesced in by Controlled Affiliate or is not dismissed within one hundred
thirty (130) days of the date upon which the pleading or other document
commencing the action is served upon the Controlled Affiliate, provided that if
the action is stayed or its prosecution is enjoined, the one hundred thirty
(130) day period is tolled for the duration of the stay or injunction, and
provided further, that the Association's Board of Directors may toll or extend
the 130 day period at any time prior to its expiration, or (viii) a trustee,
interim trustee, receiver or other custodian for any of Controlled Affiliate's
property or business is appointed or the Controlled Affiliate is ordered
dissolved or liquidated. Notwithstanding any other provision of this Agreement,

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a declaration or a request for declaration of the existence of a trust over any
of the Controlled Affiliate's property or business shall not in itself be deemed
to constitute or seek appointment of a trustee, interim trustee, receiver or
other custodian for purposes of subparagraphs 7(e)(3)(vii) and (viii) of this
Agreement.

     F. Upon termination of this Agreement for cause or otherwise, Controlled
Affiliate agrees that it shall immediately discontinue all use of the Licensed
Marks and Name, including any use in its trade name.

     G. Upon termination of this Agreement, Controlled Affiliate shall
immediately notify all of its customers that it is no longer a licensee of BCBSA
and, if directed by the Association's Board of Directors, shall provide
instruction on how the customer can contact BCBSA or a designated licensee to
obtain further information on securing coverage. The notification required by
this paragraph shall be in writing and in a form approved by BCBSA. The BCBSA
shall have the right to audit the terminated entity's books and records to
verify compliance with this paragraph.

     H. In the event this Agreement terminates pursuant to 7(b) hereof, or in
the event the Controlled Affiliate is a Larger Controlled Affiliate (as defined
in Exhibit A), upon termination of this Agreement, the provisions of Paragraph
7.G. shall not apply and the following provisions shall apply:

     (1) The Controlled Affiliate shall send a notice through the U.S. mails,
with first class postage affixed, to all individual and group customers,
providers, brokers and agents of products or services sold, marketed,
underwritten or administered by the Controlled Affiliate under the Licensed
Marks and Name. The form and content of the notice shall be specified by BCBSA
and shall, at a minimum, notify the recipient of the termination of the license,
the consequences thereof, and instructions for obtaining alternate products or
services licensed by BCBSA. This notice shall be mailed within 15 days after
termination.

     (2) The Controlled Affiliate shall deliver to BCBSA within five days of a
request by BCBSA a listing of national accounts in which the Controlled
Affiliate is involved (in a control, participating or servicing capacity),
identifying the national account and the Controlled Affiliate's role therein.

     (3) Unless the cause of termination is an event respecting BCBSA stated in
paragraph 15(a) or (b) of the Plan's license agreement with BCBSA to use the
Licensed Marks and Name, the Controlled Affiliate, the Plan, and any other
Licensed Controlled Affiliates of the Plan shall be jointly liable for payment
to BCBSA of an amount equal to $25 multiplied by the number of Licensed
Enrollees of the Controlled Affiliate; provided that if any other Plan is
permitted by BCBSA to use marks or names licensed by BCBSA in the Service Area

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established by this Agreement, the payment shall be multiplied by a fraction,
the numerator of which is the number of Licensed Enrollees of the Controlled
Affiliate, the Plan, and any other Licensed Controlled Affiliates and the
denominator of which is the total number of Licensed Enrollees in the Service
Area. Licensed Enrollee means each and every person and covered dependent who is
enrolled as an individual or member of a group receiving products or services
sold, marketed or administered under marks or names licensed by BCBSA as
determined at the earlier of (i) the end of the last fiscal year of the
terminated entity which ended prior to termination or (ii) the fiscal year which
ended before any transactions causing the termination began. Notwithstanding the
foregoing, the amount payable pursuant to this subparagraph H. (3) shall be due
only to the extent that, in BCBSA's opinion, it does not cause the net worth of
the Controlled Affiliate, the Plan or any other Licensed Controlled Affiliates
of the Plan to fall below 100% of the capital benchmark formula, or its
equivalent under any successor formula, as set forth in the applicable financial
responsibility standards established by BCBSA (provided such equivalent is
approved for purposes of this sub paragraph by the affirmative vote of
three-fourths of the Plans and three-fourths of the total then current weighted
vote of all the Plans); measured as of the date of termination, and adjusted for
the value of any transactions not made in the ordinary course of business. This
payment shall not be due in connection with transactions exclusively by or among
Plans or their affiliates, including reorganizations, combinations or mergers,
where the BCBSA Board of Directors determines that the license termination does
not result in a material diminution in the number of Licensed Enrollees or the
extent of their coverage.

     (4) BCBSA shall have the right to audit the books and records of the
Controlled Affiliate, the Plan, and any other Licensed Controlled Affiliates of
the Plan to verify compliance with this paragraph 7.H.

     (5) As to a breach of 7.H.(1), (2), (3) or (4), the parties agree that the
obligations are immediately enforceable in a court of competent jurisdiction. As
to a breach of 7.H.(1), (2) or (4) by the Controlled Affiliate, the parties
agree there is no adequate remedy at law and BCBSA is entitled to obtain
specific performance.

     I. In the event the Controlled Affiliate is a Smaller Controlled Affiliate
(as defined in Exhibit A), the Controlled Affiliate agrees to be jointly liable
for the amount described in H.3. hereof upon termination of the BCBSA license
agreement of any Larger Controlled Affiliate of the Plan.

     J. BCBSA shall be entitled to enjoin the Controlled Affiliate or any
related party in a court of competent jurisdiction from entry into any
transaction which would result in a termination of this Agreement unless the
Plan's license from BCBSA to use the Licensed Marks and Names has been
terminated

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pursuant to 10(d) of the Plan's license agreement upon the required 6 month
written notice.

     K. BCBSA acknowledges that it is not the owner of assets of the Controlled
Affiliate.

     L. In the event that the Plan has more than 50 percent voting control of
the Controlled Affiliate under Paragraph 2(E)(2) above and is a Larger
Controlled Affiliate (as defined in Exhibit A), then the vote called for in
Paragraphs 7(C) and 7(D) above shall require the affirmative vote of
three-fourths of the Plans and three-fourths of the total then current weighted
vote of all the Plans.

     8.   DISPUTE RESOLUTION

     The parties agree that any disputes between them or between or among either
of them and one or more Plans or Controlled Affiliates of Plans that use in any
manner the Blue Shield and Blue Shield Marks and Name are subject to the
Mediation and Mandatory Dispute Resolution process attached to and made a part
of Plan's License from BCBSA to use the Licensed Marks and Name as Exhibits 5,
5A and 5B as amended from time-to-time, which documents are incorporated herein
by reference as though fully set forth herein.

     9.   LICENSE FEE

     Controlled Affiliate will pay to BCBSA a fee for this License determined
pursuant to the formula(s) set forth in Exhibit B.

     10. JOINT VENTURE

     Nothing contained in the Agreement shall be construed as creating a joint
venture, partnership, agency or employment relationship between Plan and
Controlled Affiliate or between either and BCBSA.

                                                    AMENDED AS OF MARCH 11, 1999

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     11.  NOTICES AND CORRESPONDENCE

     Notices regarding the subject matter of this Agreement or breach or
termination thereof shall be in writing and shall be addressed in duplicate to
the last known address of each other party, marked respectively to the attention
of its President and, if any, its General Counsel.

     12.  COMPLETE AGREEMENT

     This Agreement contains the complete understandings of the parties in
relation to the subject matter hereof. This Agreement may only be amended by the
affirmative vote of three-fourths of the Plans and three-fourths of the total
then current weighted vote of all the Plans as officially recorded by the BCBSA
Corporate Secretary.

     13.  SEVERABILITY

     If any term of this Agreement is held to be unlawful by a court of
competent jurisdiction, such findings shall in no way affect the remaining
obligations of the parties hereunder and the court may substitute a lawful term
or condition for any unlawful term or condition so long as the effect of such
substitution is to provide the parties with the benefits of this Agreement.

     14. NONWAIVER

     No waiver by BCBSA of any breach or default in performance on the part of
Controlled Affiliate or any other licensee of any of the terms, covenants or
conditions of this Agreement shall constitute a waiver of any subsequent breach
or default in performance of said terms, covenants or conditions.

     14A. VOTING

For all provisions of this Agreement referring to voting, the term `Plans' shall
mean all entities licensed under the Blue Cross License Agreement and/or the
Blue Shield License Agreement, and in all votes of the Plans under this
Agreement the Plans shall vote together. For weighted votes of the Plans, the
Plan shall have a number of votes equal to the number of weighted votes (if any)
that it holds as a Blue Cross Plan plus the number of weighted votes (if any)
that it holds as a Blue Shield Plan. For all other votes of the Plans, the Plan
shall have one vote. For all questions requiring an affirmative three-fourths
weighted vote of the Plans, the requirement shall be deemed satisfied with a
lesser weighted vote unless six (6) or more Plans fail to cast weighted votes in
favor of the question.

                                                     AMENDED AS OF JUNE 16, 2000

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                        THIS PAGE IS INTENTIONALLY BLANK.

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     15.  GOVERNING LAW

     This Agreement shall be governed by, and construed and interpreted in
accordance with, the laws of the State of Illinois.

     16.  HEADINGS

     The headings inserted in this agreement are for convenience only and shall
have no bearing on the interpretation hereof.

     IN WITNESS WHEREOF, the parties have caused this License Agreement to be
executed and effective as of the date of last signature written below.

CONTROLLED AFFILIATE:

By:
   -------------------------------------------

Date:
     -----------------------------------------

PLAN:

By:
   -------------------------------------------

Date:
     -----------------------------------------

BLUE CROSS AND BLUE SHIELD ASSOCIATION

By:
   -------------------------------------------

Date:
     -----------------------------------------

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EXHIBIT A

CONTROLLED AFFILIATE LICENSE STANDARDS
March 2002
PREAMBLE

The standards for licensing Controlled Affiliates are established by BCBSA and
are subject to change from time-to-time upon the affirmative vote of
three-fourths (3/4) of the Plans and three-fourths (3/4) of the total weighted
vote. Each licensed Plan is required to use a standard Controlled Affiliate
license form provided by BCBSA and to cooperate fully in assuring that the
licensed Controlled Affiliate maintains compliance with the license standards.

The Controlled Affiliate License provides a flexible vehicle to accommodate the
potential range of health and workers' compensation related products and
services Plan Controlled Affiliates provide. The Controlled Affiliate License
collapses former health Controlled Affiliate licenses (HCC, HMO, PPO, TPA, and
IDS) into a single license using the following business-based criteria to
provide a framework for license standards:

o    Percent of Controlled Affiliate controlled by parent: Greater than 50
     percent or 50 percent?

o    Risk assumption: yes or no?

o    Medical care delivery: yes or no?

o    Size of the Controlled Affiliate: If the Controlled Affiliate has health or
     workers' compensation administration business, does such business
     constitute 15 percent or more of the parent's and other licensed health
     subsidiaries' contract enrollment?

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EXHIBIT A (CONTINUED)

For purposes of definition:

o    A "smaller Controlled Affiliate:" (1) comprises less than fifteen percent
     (15%) of Plan's and its licensed Controlled Affiliates' total contract
     enrollment (as reported on the BCBSA Quarterly Enrollment Report, excluding
     rider and freestanding coverage, and treating an entity seeking licensure
     as licensed);* or (2) underwrites the indemnity portion of workers'
     compensation insurance and has total premium revenue less than 15 percent
     of the sponsoring Plan's net subscription revenue.

o    A "larger Controlled Affiliate" comprises fifteen percent (15%) or more of
     Plan's and its licensed Controlled Affiliates' total contract enrollment
     (as reported on the BCBSA Quarterly Enrollment Report, excluding rider and
     freestanding coverage, and treating an entity seeking licensure as
     licensed.)*

Changes in Controlled Affiliate status:

If ANY Controlled Affiliate's status changes regarding: its Plan ownership
level, its risk acceptance or direct delivery of medical care, the Controlled
Affiliate shall notify BCBSA within thirty (30) days of such occurrence in
writing and come into compliance with the applicable standards within six (6)
months.

If a smaller Controlled Affiliate's health and workers' compensation
administration business reaches or surpasses fifteen percent (15%) of the total
contract enrollment of the Plan and licensed Controlled Affiliates, the
Controlled Affiliate shall:

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EXHIBIT A (CONTINUED)

1.   Within thirty (30) days, notify BCBSA of this fact in writing, including
     evidence that the Controlled Affiliate meets the minimum liquidity and
     capital (BCBSA "Health Risk-Based Capital (HRBC)" as defined by the NAIC
     and state-established minimum reserve) requirements of the larger
     Controlled Affiliate Financial Responsibility standard; and

2.   Within six (6) months after reaching or surpassing the fifteen percent
     (15%) threshold, demonstrate compliance with all license requirements for a
     larger Controlled Affiliate.

If a Controlled Affiliate that underwrites the indemnity portion of workers'
compensation insurance receives a change in rating or proposed change in rating,
the Controlled Affiliate shall notify BCBSA within 30 days of notification by
the external rating agency.

---------------
*For purposes of this calculation,

The numerator equals:

Applicant Controlled Affiliate's contract enrollment, as defined in BCBSA's
Quarterly Enrollment Report (excluding rider and freestanding coverage).

The denominator equals:

Numerator PLUS Plan and all other licensed Controlled Affiliates' contract
enrollment, as reported in BCBSA's Quarterly Enrollment Report (excluding rider
and freestanding coverage).

                                                       AMENDED NOVEMBER 15, 2001

                                       16
<PAGE>

EXHIBIT A (CONTINUED)

                  STANDARDS FOR LICENSED CONTROLLED AFFILIATES

AS DESCRIBED IN PREAMBLE SECTION OF EXHIBIT A TO THE AFFILIATE LICENSE
AGREEMENT, EACH CONTROLLED AFFILIATE SEEKING LICENSURE MUST ANSWER FOUR
QUESTIONS. DEPENDING ON THE CONTROLLED AFFILIATE'S ANSWERS, CERTAIN STANDARDS
APPLY:

1.   What percent of the controlled affiliate is controlled by the parent Plan?
--------------------------------------------------------------------------------
     More than 50%            50%                   100% and Primary Business is
                                                         Government Non-Risk

  [GRAPHIC OMITTED]    [GRAPHIC OMITTED]                  [GRAPHIC OMITTED]

   Standard 1A, 4       Standard 1B, 4
                                                           Standard 4*,10A
                                                           Standard 1B, 4
--------------------------------------------------------------------------------
* Applicable only if using the names and marks.

                                  IN ADDITION,
2.   Is risk being assumed?
<TABLE>
<S>                    <C>                   <C>                    <C>                   <C>                   <C>
------------------------------------------------------------------------------------------------------------------------------------
                              Yes                                                                No

 [GRAPHIC OMITTED]     [GRAPHIC OMITTED]     [GRAPHIC OMITTED]      [GRAPHIC OMITTED]     [GRAPHIC OMITTED]     [GRAPHIC OMITTED]

Controlled Affiliate   Controlled Affiliate  Controlled Affiliate   Controlled Affiliate  Controlled Affiliate  Controlled
underwrites any        comprises less than   comprises greater      comprises less than   comprises greater     Affiliate's Primary
indemnity portion of   15% of total          than or equal to 15%   15% of total          than or equal to 15%  Business is
workers' compensation  contract enrollment   of total contract      contract enrollment   of total contract     Government Non-Risk
insurance              of Plan and its       enrollment of Plan     of Plan and its       enrollment of Plan
 [GRAPHIC OMITTED]     licensed affiliates,  and its licensed       licensed affiliates   and its licensed
Standards 7A-7E        and does not          affiliates, and does                         affiliates
                       underwrite the        not underwrite the     [GRAPHIC OMITTED]
                       indemnity portion of  indemnity portion of                         [GRAPHIC OMITTED]     [GRAPHIC OMITTED]
                       workers'              workers'
                       compensation          compensation                                 Standard 6H              Standard 10B
                       insurance             insurance

                       [GRAPHIC OMITTED]     [GRAPHIC OMITTED]

                       Standard 2            Standard 6H           Standard 2
                       (Guidelines 1.1,1.2)                        (Guidelines 1.1,1.3)
                       and Standard 11                             and Standard 11
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>

                                  IN ADDITION,

3.   Is medical care being directly provided?
--------------------------------------------------------------------------------
         Yes                                                    No

   [GRAPHIC OMITTED]                                     [GRAPHIC OMITTED]

     Standard 3A                                            Standard 3B
--------------------------------------------------------------------------------

                                  IN ADDITION,

4. If the controlled affiliate has health or workers' compensation
administration business, does such business comprise 15% or more of the total
contract enrollment of Plan and its licensed controlled affiliates?
--------------------------------------------------------------------------------
      Yes                                 No

                  [GRAPHIC OMITTED]     [GRAPHIC OMITTED] [GRAPHIC OMITTED]
[GRAPHIC OMITTED]
Standards 6A-6I   Controlled Affiliate  Controlled        Controlled Affiliate's
                  is a former primary   Affiliate is not  Primary Business is
                  licensee              a former primary  Government Non-Risk
                                        licensee
                                                          [GRAPHIC OMITTED]
                  [GRAPHIC OMITTED]     [GRAPHIC OMITTED]
                                                           Standards 8, 10(C)
                  Standards 5,8,9,11    Standards 5,8
--------------------------------------------------------------------------------

                                       17
<PAGE>

EXHIBIT A (CONTINUED)

STANDARD 1 - ORGANIZATION AND GOVERNANCE

1A.) The Standard for more than 50% Plan control is:

A Controlled Affiliate shall be organized and operated in such a manner that a
licensed Plan or Plans authorized to use the Licensed Marks in the Service Area
of the Controlled Affiliate pursuant to separate License Agreement(s) with
BCBSA, other than such Controlled Affiliate's License Agreement(s), (the
"Controlling Plan(s)"), have the legal authority, directly or indirectly through
wholly-owned subsidiaries: 1) to select members of the Controlled Affiliate's
governing body having more than 50% voting control thereof; and 2) to prevent
any change in the articles of incorporation, bylaws or other establishing or
governing documents of the Controlled Affiliate with which the Controlling
Plan(s) do(es) not concur; and 3) to exercise control over the policy and
operations of the Controlled Affiliate. In addition, a Plan or Plans directly or
indirectly through wholly-owned subsidiaries shall own more than 50% of any
for-profit Controlled Affiliate.

1B.) The Standard for 50% Plan control is:

A Controlled Affiliate shall be organized and operated in such a manner that a
licensed Plan or Plans authorized to use the Licensed Marks in the Service Area
of the Controlled Affiliate pursuant to separate License Agreement(s) with
BCBSA, other than such Controlled Affiliate's License Agreement(s), (the
"Controlling Plan(s)"), have the legal authority, directly or indirectly through
wholly-owned subsidiaries:

1)   to select members of the Controlled Affiliate's governing body having not
     less than 50% voting control thereof; and

2)   to prevent any change in the articles of incorporation, bylaws or other
     establishing or governing documents of the Controlled Affiliate with which
     the Controlling Plan(s) do(es) not concur; and

3)   to exercise control over the policy and operations of the Controlled
     Affiliate at least equal to that exercised by persons or entities (jointly
     or individually) other than the Controlling Plan(s).

                                       18
<PAGE>

EXHIBIT A (CONTINUED)

Notwithstanding anything to the contrary in 1) through 3) hereof, the Controlled
Affiliate's establishing or governing documents must also require written
approval by the Controlling Plan(s) before the Controlled Affiliate can:

     o    change the geographic area in which it operates

     o    change its legal and/or trade names

     o    change any of the types of businesses in which it engages

     o    create, or become liable for by way of guarantee, any indebtedness,
          other than indebtedness arising in the ordinary course of business

     o    sell any assets, except for sales in the ordinary course of business
          or sales of equipment no longer useful or being replaced

     o    make any loans or advances except in the ordinary course of business

     o    enter into any arrangement or agreement with any party directly or
          indirectly affiliated with any of the owners or persons or entities
          with the authority to select or appoint members or board members of
          the Controlled Affiliate, other than the Plan or Plans (excluding
          owners of stock holdings of under 5% in a publicly traded Controlled
          Affiliate)

     o    conduct any business other than under the Licensed Marks and Name

     o    take any action that any Controlling Plan or BCBSA reasonably believes
          will adversely affect the Licensed Marks and Name.

In addition, a Plan or Plans directly or indirectly through wholly-owned
subsidiaries shall own at least 50% of any for-profit Controlled Affiliate.

                                       19
<PAGE>

EXHIBIT A (CONTINUED)

STANDARD 2 - FINANCIAL RESPONSIBILITY

A Controlled Affiliate shall be operated in a manner that provides reasonable
financial assurance that it can fulfill all of its contractual obligations to
its customers. If a risk-assuming Controlled Affiliate ceases operations for any
reason, Blue Cross and/or Blue Cross Plan coverage will be offered to all
Controlled Affiliate subscribers without exclusions, limitations or conditions
based on health status. If a nonrisk-assuming Controlled Affiliate ceases
operations for any reason, sponsoring Plan(s) will provide for services to its
(their) customers.

STANDARD 3 - STATE LICENSURE/CERTIFICATION

3A.) The Standard for a Controlled Affiliate that employs, owns or contracts on
     a substantially exclusive basis for medical services is:

A Controlled Affiliate shall maintain unimpaired licensure or certification for
its medical care providers to operate under applicable state laws.

3B.) The Standard for a Controlled Affiliate that does not employ, own or
     contract on a substantially exclusive basis for medical services is:

A Controlled Affiliate shall maintain unimpaired licensure or certification to
operate under applicable state laws.

STANDARD 4 - CERTAIN DISCLOSURES

A Controlled Affiliate shall make adequate disclosure in contracting with third
parties and in disseminating public statements of 1) the structure of the Blue
Cross and Blue Shield System; and 2) the independent nature of every licensee;
and 3) the Controlled Affiliate's financial condition.

STANDARD 5 - REPORTS AND RECORDS FOR CERTAIN SMALLER CONTROLLED AFFILIATES

For a smaller Controlled Affiliate that does not underwrite the indemnity
portion of workers' compensation insurance, the Standard is:

                                       20
<PAGE>

EXHIBIT A (CONTINUED)

A Controlled Affiliate and/or its licensed Plan(s) shall furnish, on a timely
and accurate basis, reports and records relating to these Standards and the
License Agreements between BCBSA and Controlled Affiliate.

STANDARD 6 - OTHER STANDARDS FOR LARGER CONTROLLED AFFILIATES

Standards 6(A) - (I) that follow apply to larger Controlled Affiliates.

Standard 6(A): Board of Directors

A Controlled Affiliate Governing Board shall act in the interest of its
Corporation in providing cost-effective health care services to its customers. A
Controlled Affiliate shall maintain a governing Board, which shall control the
Controlled Affiliate, composed of a majority of persons other than providers of
health care services, who shall be known as public members. A public member
shall not be an employee of or have a financial interest in a health care
provider, nor be a member of a profession which provides health care services.

Standard 6(B): Responsiveness to Customers

A Controlled Affiliate shall be operated in a manner responsive to customer
needs and requirements.

Standard 6(C): Participation in National Programs

A Controlled Affiliate shall effectively and efficiently participate in each
national program as from time to time may be adopted by the Member Plans for the
purposes of providing portability of membership between the licensees and ease
of claims processing for customers receiving benefits outside of the Controlled
Affiliate's Service Area.

Such programs are applicable to licensees, and include:

1. Transfer Program;

2. BlueCard Program;

                                       21
<PAGE>

EXHIBIT A (CONTINUED)

3. Inter-Plan Teleprocessing System (ITS)

4. Electronic Claims Routing Process; and

5. National Account Programs, effective January 1, 2002.

Standard 6(D): Financial Performance Requirements

In addition to requirements under the national programs listed in Standard 6C:
Participation in National Programs, a Controlled Affiliate shall take such
action as required to ensure its financial performance in programs and contracts
of an inter-licensee nature or where BCBSA is a party.

Standard 6(E): Cooperation with Plan Performance Response Process

A Controlled Affiliate shall cooperate with BCBSA's Board of Directors and its
Plan Performance and Financial Standards Committee in the administration of the
Plan Performance Response Process and in addressing Controlled Affiliate
performance problems identified thereunder.

Standard 6(F): Independent Financial Rating

A Controlled Affiliate shall obtain a rating of its financial strength from an
independent rating agency approved by BCBSA's Board of Directors for such
purpose.

Standard 6(G): Best Efforts

During each year, a Controlled Affiliate shall use its best efforts in the
designated Service Area to promote and build the value of the Blue Cross Mark.

Standard 6(H): Financial Responsibility

A Controlled Affiliate shall be operated in a manner that provides reasonable
financial assurance that it can fulfill all of its contractual obligations to
its customers.

                                                       AMENDED NOVEMBER 15, 2001

                                       22
<PAGE>

EXHIBIT A (CONTINUED)

Standard 6(I): Reports and Records

A Controlled Affiliate shall furnish to BCBSA on a timely and accurate basis
reports and records relating to compliance with these Standards and the License
Agreements between BCBSA and Controlled Affiliate. Such reports and records are
the following:

A)   BCBSA Controlled Affiliate Licensure Information Request; and

B)   Biennial trade name and service mark usage material, including disclosure
     material; and

C)   Changes in the ownership and governance of the Controlled Affiliate,
     including changes in its charter, articles of incorporation, or bylaws,
     changes in a Controlled Affiliate's Board composition, or changes in the
     identity of the Controlled Affiliate's Principal Officers, and changes in
     risk acceptance, contract growth, or direct delivery of medical care; and

D)   Quarterly Financial Report, Semi-annual "Health Risk-Based Capital (HRBC)
     Report" as defined by the NAIC, Annual Financial Forecast, Annual Certified
     Audit Report, Insurance Department Examination Report, Annual Statement
     filed with State Insurance Department (with all attachments), and

E)   Quarterly Enrollment Report.

                                                          AMENDED MARCH 14, 2002

                                       23
<PAGE>

EXHIBIT A (CONTINUED)

Standard 6(J):  Control by Unlicensed Entities Prohibited

No Controlled Affiliate shall cause or permit an entity other than a Plan or a
Licensed Controlled Affiliate thereof to obtain control of the Controlled
Affiliate or to acquire a substantial portion of its assets related to
licensable services.

STANDARD 7 - OTHER STANDARDS FOR RISK-ASSUMING WORKERS' COMPENSATION CONTROLLED
AFFILIATES

Standards 7(A) - (E) that follow apply to Controlled Affiliates that underwrite
the indemnity portion of workers' compensation insurance.

Standard 7 (A): Financial Responsibility

A Controlled Affiliate shall be operated in a manner that provides reasonable
financial assurance that it can fulfill all of its contractual obligations to
its customers.

Standard 7(B): Reports and Records

A Controlled Affiliate shall furnish, on a timely and accurate basis, reports
and records relating to compliance with these Standards and the License
Agreements between BCBSA and the Controlled Affiliate. Such reports and records
are the following:

A.   BCBSA Controlled Affiliate Licensure Information Request; and

B.   Biennial trade name and service mark usage materials, including disclosure
     materials; and

C.   Annual Certified Audit Report, Annual Statement as filed with the State
     Insurance Department (with all attachments), Annual NAIC's Risk-Based
     Capital Worksheets for Property and Casualty Insurers, Annual Financial
     Forecast; and

                                                           AMENDED JUNE 16, 2000

                                       24
<PAGE>

EXHIBIT A (CONTINUED)

     Quarterly Financial Report, Quarterly Estimated Risk-Based Capital for
     Property and Casualty Insurers, Insurance Department Examination Report.

D.   Notification of all changes and proposed changes to independent ratings
     within 30 days of receipt and submission of a copy of all rating reports;
     and

E.   Changes in the ownership and governance of the Controlled Affiliate
     including changes in its charter, articles of incorporation, or bylaws,
     changes in a Controlled Affiliate's Board composition, Plan control, state
     license status, operating area, the Controlled Affiliate's Principal
     Officers or direct delivery of medical care.

Standard 7(C): Loss Prevention

A Controlled Affiliate shall apply loss prevention protocol to both new and
existing business.

Standard 7(D): Claims Administration

A Controlled Affiliate shall maintain an effective claims administration process
that includes all the necessary functions to assure prompt and proper resolution
of medical and indemnity claims.

Standard 7(E): Disability and Provider Management

A Controlled Affiliate shall arrange for the provision of appropriate and
necessary medical and rehabilitative services to facilitate early intervention
by medical professionals and timely and appropriate return to work.

                                                       AMENDED NOVEMBER 16, 2000

                                       25
<PAGE>

EXHIBIT A (CONTINUED)

STANDARD 8 - COOPERATION WITH CONTROLLED AFFILIATE LICENSE PERFORMANCE RESPONSE
PROCESS PROTOCOL

A Controlled Affiliate and its Sponsoring Plan(s) shall cooperate with BCBSA's
Board of Directors and its Plan Performance and Financial Standards Committee in
the administration of the Controlled Affiliate License Performance Response
Process Protocol (ALPRPP) and in addressing Controlled Affiliate compliance
problems identified thereunder.

STANDARD 9 - PARTICIPATION IN NATIONAL PROGRAMS BY SMALLER CONTROLLED AFFILIATES

A smaller Controlled Affiliate for which this standard applies pursuant to the
Preamble section of Exhibit A of the Controlled Affiliate License Agreement
shall effectively and efficiently participate in certain national programs from
time to time as may be adopted by Member Plans for the purposes of providing
ease of claims processing for customers receiving benefits outside of the
Controlled Affiliate's service area and be subject to certain relevant financial
and reporting requirements.

A.   National program requirements include:

     o    BlueCard Program;

     o    Inter-Plan Teleprocessing System (ITS);

     o    Transfer Program;

     o    Electronic Claims Routing Process, effective until the mandated date
          for implementation of the HIPAA standard transaction; and

     o    National Account Programs, effective January 1, 2002.

B.   Financial Requirements include:

     o    Standard 6(D): Financial Performance Requirements and Standard 6(H):
          Financial Responsibility; or

     o    A financial guarantee covering the Controlled Affiliate's BlueCard
          Program obligations in a form, and from a guarantor, acceptable to
          BCBSA.

                                       26
<PAGE>

EXHIBIT A (CONTINUED)

STANDARD 9 - PARTICIPATION IN NATIONAL PROGRAMS BY SMALLER CONTROLLED AFFILIATES

C.   Reporting requirements include:

     o    The Semi-annual Health Risk-Based Capital (HRBC) Report.

                                                       AMENDED NOVEMBER 15, 2001

                                       27
<PAGE>

EXHIBIT A (CONTINUED)

STANDARD 10 - OTHER STANDARDS FOR CONTROLLED AFFILIATES WHOSE PRIMARY BUSINESS
IS GOVERNMENT NON-RISK

Standards 10(A) - (C) that follow apply to Controlled Affiliates whose primary
business is government non-risk.

Standard 10(A) - Organization and Governance

A Controlled Affiliate shall be organized and operated in such a manner that it
is 1) wholly owned by a licensed Plan or Plans and 2) the sponsoring licensed
Plan or Plans have the legal ability to prevent any change in the articles of
incorporation, bylaws or other establishing or governing documents of the
Controlled Affiliate with which it does not concur.

                                       28
<PAGE>

EXHIBIT A (CONTINUED)

Standard 10(B) - Financial Responsibility

A Controlled Affiliate shall be operated in a manner that provides reasonable
financial assurance that it can fulfill all of its contractual obligations to
its customers.

Standard 10(C):- Reports and Records

A Controlled Affiliate shall furnish, on a timely and accurate basis, reports
and records relating to compliance with these Standards and the License
Agreements between BCBSA and the Controlled Affiliate. Such reports and records
are the following:

A.   BCBSA Affiliate Licensure Information Request; and

B.   Biennial trade name and service mark usage materials, including disclosure
     material; and

C.   Annual Certified Audit Report, Annual Statement (if required) as filed with
     the State Insurance Department (with all attachments), Annual NAIC
     Risk-Based Capital Worksheets (if required) as filed with the State
     Insurance Department (with all attachments), and Insurance Department
     Examination Report (if applicable)*; and

D.   Changes in the ownership and governance of the Controlled Affiliate,
     including changes in its charter, articles of incorporation, or bylaws,
     changes in the Controlled Affiliate's Board composition, Plan control,
     state license status, operating area, the Controlled Affiliate's Principal
     Officers or direct delivery of medical care.

                                       29
<PAGE>

EXHIBIT A (CONTINUED)

STANDARD 11:  PARTICIPATION IN ELECTRONIC CLAIMS ROUTING PROCESS

The Standard is:

A smaller controlled affiliate for which this standard applies pursuant to the
Preamble section of Exhibit A of the Controlled Affiliate License Agreement
shall effectively and efficiently participate in certain national programs from
time to time as may be adopted by Member Plans for the purposes of providing
ease of claims processing for customers receiving benefits outside of the
controlled affiliate's service area.

National program requirements include:

A.   Electronic Claims Routing Process effective upon the mandated date for
     implementation of the HIPAA standard transaction.

                                                       AMENDED NOVEMBER 15, 2001

                                       30
<PAGE>

EXHIBIT B

ROYALTY FORMULA FOR SECTION 9 OF THE
CONTROLLED AFFILIATE LICENSE AGREEMENT

Controlled Affiliate will pay BCBSA a fee for this license in accordance with
the following formula:

FOR RISK AND GOVERNMENT NON-RISK PRODUCTS:

For Controlled Affiliates not underwriting the indemnity portion of workers'
compensation insurance:

An amount equal to its pro rata share of each sponsoring Plan's dues payable to
BCBSA computed with the addition of the Controlled Affiliate's subscription
revenue and contracts arising from products using the marks. The payment by each
sponsoring Plan of its dues to BCBSA, including that portion described in this
paragraph, will satisfy the requirement of this paragraph, and no separate
payment will be necessary.

For Controlled Affiliates underwriting the indemnity portion of workers'
compensation insurance:

An amount equal to 0.35 percent of the gross revenue per annum of Controlled
Affiliate arising from products using the marks; plus, an annual fee of $5,000
per license for a Controlled Affiliate subject to Standard 7.

For Controlled Affiliates whose primary business is government non-risk:

An amount equal to its pro-rata share of each sponsoring Plan's dues payable to
BCBSA computed with the addition of the Controlled Affiliate's government
non-risk beneficiaries.

                                       31
<PAGE>

EXHIBIT B (CONTINUED)

FOR NONRISK PRODUCTS:

An amount equal to 0.24 percent of the gross revenue per annum of Controlled
Affiliate arising from products using the marks; plus:

1)   An annual fee of $5,000 per license for a Controlled Affiliate subject to
     Standard 6 D.

2)   An annual fee of $2,000 per license for all other Controlled Affiliates.

The foregoing shall be reduced by one-half where both a BLUE CROSS(R) and BLUE
SHIELD(R) License are issued to the same Controlled Affiliate. In the event that
any license period is greater or less than one (1) year, any amounts due shall
be prorated. Royalties under this formula will be calculated, billed and paid in
arrears.

                                       32<PAGE>

                                                                    EXHIBIT 10.9

                WISCONSIN BLUE CROSS/BLUE SHIELD LICENSE ADDENDUM

     Blue Cross and Blue Shield Association (the "National Association") and
Cobalt Corporation ("Cobalt") have entered into this License Addendum ("this
Addendum") as of March 23, 2001 (the "date hereof").

     WHEREAS, the National Association is an association of independent members.
The National Association licenses to each member the right to use the "Blue
Cross" and/or "Blue Shield" names under which the member provides health care
benefits in the state or other service area to which the license applies. The
rights licensed by the National Association are herein collectively called the
"Blue Cross/Blue Shield Licensed Rights."

     WHEREAS, each member's right to continue to use the Blue Cross/Blue Shield
Licensed Rights and to remain a member of the Association is conditioned upon
that member's remaining in compliance with membership standards and requirements
established by the National Association.

     WHEREAS, it is fundamental to the integrity of the National Association
that each member remain independent of any control or influence by any
particular economic interest or other special interest which might impair its
ability to (i) exercise independent judgment as to the programs which will best
meet the needs of the communities in the state or area for which it is
responsible or (ii) function as an integral part of a unique system that depends
on cooperative efforts of independent members to provide Blue Cross/Blue Shield
coverage on a nationwide basis.

     WHEREAS, Blue Cross & Blue Shield United of Wisconsin (which is called the
"Old Parent" in this Addendum) has served as the primary licensee authorized by
the National Association to provide health care benefits in a service area
within the State of Wisconsin established by licenses granted by the National
Association to the Old Parent (the "Wisconsin Service Area"). The Old Parent was
originally organized as a non-stock service insurance corporation incorporated
in Wisconsin.

     WHEREAS, the Board of Directors of the Old Parent has approved a series of
related transactions with United Wisconsin Services, Inc. ("UWSI"), a for-profit
corporation incorporated in Wisconsin (herein collectively called the "Wisconsin
Reorganization") that are designed, among other things, to change the member
holding the primary license for the provision of Blue Cross and Blue Shield
health care benefits in the Wisconsin Service Area to an investor-owned
corporation.

     WHEREAS, immediately prior to the Wisconsin Reorganization, Old Parent
owned approximately 7.9 million shares of UWSI. The balance of the common stock
in UWSI was owned by other investors (the "UWSI Public Stockholders") and was
publicly traded on the New York Stock Exchange.

     WHEREAS, the Wisconsin Reorganization was consummated on the date hereof
and included among other things the following actions: (1) Old Parent converted
from a not-for-profit service insurance corporation to a for-profit stock
insurance corporation in accordance

<PAGE>

with Wisconsin law; (2) Wisconsin BC Holdings LLC, a Wisconsin Limited Liability
Corporation CPC Holdings") and wholly-owned subsidiary of Wisconsin United for
Health Foundation, Inc. ("Foundation"), was issued all of the outstanding shares
of Old Parent; (3) BC Holdings simultaneously exchanged all of its Old Parent
shares for 31,313,390 shares of newly issued common stock of UWSI and $500,000
in cash; (4) Old Parent became a wholly owned subsidiary of UWSI; (5) BC
Holdings simultaneously was dissolved on the date hereof and all of its UWSI
stock and cash was distributed to the Foundation; and (5) UWSI changed its legal
name to "Cobalt Corporation" ("Cobalt") and being trading under the ticker
symbol "CBZ" on the New York Stock Exchange. Immediately after Wisconsin
Reorganization, the Foundation owned 77.5% of the outstanding shares of Cobalt
and the remaining Cobalt common stock was owned by the UWSI Public Stockholders.

     WHEREAS, Cobalt has been incorporated in Wisconsin for the purpose of
taking the place of the Old Parent as the member primarily licensed to provide
health care benefits in the Wisconsin Service Area under the Blue Cross/Blue
Shield Licensed Rights after completion of the Wisconsin Reorganization.

     WHEREAS, the National Association permits a member to convert to
investor-owned status only if the member has in place safeguards designed to
protect the member's independence including safeguards designed to prevent any
institutional investor from acquiring a 10% or higher voting interest in the
member, to prevent any other investor from acquiring a 5% or higher voting
interest in the member, and to prevent any investor from acquiring a 20% or
higher ownership interest in the member. The Foundation does not qualify as an
institutional investor for purposes of these requirements.

     WHEREAS, the parties to the Wisconsin Reorganization recognized that the
Wisconsin Reorganization would provide the Foundation with an initial ownership
interest in Cobalt much larger than permitted by the National Association's
license requirements applicable to investor-owned members and requested that the
National Association; (i) grant a temporary exemption from the ownership
concentration limit to provide the Foundation with time to sell its ownership in
Cobalt to buyers whose ownership is below the National Association's limits
cited in the preceding paragraph in an orderly manner though a series of
underwritten public offerings or by other appropriate means; (ii) admit Cobalt
as a member of the National Association (iii) issue Cobalt Primary Licenses
permitting Cobalt to use the names "Blue Cross" and "Blue Shield" and various
other Blue Cross/Blue Shield Licensed Rights in the Wisconsin Service Area; and
(iv) issue controlled affiliate licenses to certain affiliates controlled by
Cobalt permitting them to utilize various Blue Cross/Blue Shield Licensed
Rights.

     WHEREAS, the National Association agreed to grant the waiver and take the
other actions specified in the preceding paragraph subject to the following
conditions: (i) a package of safeguards be instituted in Cobalt's Charter and
Bylaws and in agreements between Cobalt and the Foundation in order among other
things to obtain the Foundation's commitment to sell down its ownership interest
in Cobalt by prescribed minimum amounts by prescribed deadlines and to ensure
that Cobalt remains independent of the Foundation during the period the sell
down occurs; (ii) Cobalt explicitly agree that the licenses granted by the
National Association to Cobalt and its controlled affiliates will automatically
terminate on the terms specified in this Addendum if Cobalt's independence is
lost or jeopardized by the loss of any

                                       2
<PAGE>

of the safeguards or by the failure to observe or enforce any of the safeguards;
and (iii) Cobalt provide certain other commitments contained in this Addendum.

     WHEREAS, the parties have entered into this Addendum to evidence the waiver
granted by the National Association and the terms subject to which it has been
granted.

     The parties hereby agree as follows:

     1. Waiver. The National Association hereby agrees that the ownership of
Cobalt shares by the Foundation in excess of the number permitted by the Cobalt
Primary Licenses will not be deemed to provide grounds for termination of the
Cobalt Licenses so long as the conditions specified in Part 2 of this Addendum
are satisfied. In order to obtain the waiver and consent in the preceding
sentence, Cobalt agrees that its right to hold and utilize the Cobalt Primary
Licenses will at all times be subject to the conditions in Part 2 of this
Addendum and hereby covenants not to take or allow any action (or to fail to
enforce any right or power available to it in any manner) which could provide
grounds for termination of the Cobalt Primary Licenses other than pursuant to
clause (d) of paragraph 10 of the Cobalt Primary Licenses.

     2. Triggering Events.

     2.1 Selldown Commitments. A Triggering Event shall be deemed to have
occurred if without the written consent of the National Association the
Foundation shall Beneficially Own common stock representing:

     (a) more than 80.0% of the outstanding common stock at any time from and
including the date hereof to but not including the "Three Year Divestiture
Deadline", or

     (b) 50% or more of the outstanding common stock at any time from and
including the "Three Year Divestiture Deadline" to but not including the "Five
Year Divestiture Deadline", or

     (c) 20% or more of the outstanding common stock at any time on or after the
"Five Year Divestiture Deadline."

     The terms "Three Year Divestiture Deadline" and "Five Year Divestiture
Deadline" have the respective meanings set forth in the Voting Trust and
Divestiture Agreement dated the date hereof among the Foundation, Wisconsin BC
Holdings LLC, Marshall & Ilsley Trust Company, and Cobalt (herein called the
"Voting Trust Agreement") as such terms are defined therein on the date hereof
and without giving effect to any amendment or supplement to the Voting Trust
Agreement.

     The term "Selldown Completion Date" shall be deemed to occur for purposes
of this Addendum when the Foundation reduces its Beneficial Ownership of Cobalt
common stock to less than 5% of the outstanding common stock provided that if
prior to the Selldown Completion Date Cobalt shall issue any equity security
other than common stock, then the Selldown Completion Date shall occur when the
Foundation reduces its Beneficial Ownership of Cobalt shares to (i) less than 5%
of the outstanding common stock and (ii) less than levels of

                                       3
<PAGE>

ownership of Cobalt shares that (but for this Addendum) could provide a basis
for the termination of the Cobalt Primary Licenses as then constituted.

     2.2 Standstill Commitment. A Triggering Event shall be deemed to have
occurred if without the written consent of the National Association the
Foundation shall at any time prior to the Selldown Completion Date become
Beneficial Owner of any Cobalt shares except for (i) the common stock issuable
to the Foundation in the Wisconsin Reorganization and (ii) common stock issued
to the Foundation in connection with stock dividends, stock splits,
recapitalizations and other events in which the Foundation receives the same
consideration per common share owned prior to such event as every other holder
of common stock and in which the voting power and percentage ownership interest
represented by the Foundation Shares does not increase. The term "Foundation
Shares" whenever it is used in this Addendum designates and includes all Cobalt
shares Beneficially Owned by the Foundation at the time as of which the term
shall be applied.

     2.3 Voting Trust. A Triggering Event shall be deemed to have occurred if at
any time prior to the Selldown Completion Date without the written consent of
the National Association:

     (a) the Voting Trust Agreement shall be amended, eliminated or otherwise
impaired or any person shall be permitted, by the ruling of any court or
otherwise, to take any action contrary to any of the terms of the Voting Trust
Agreement;

     (b) the Foundation shall breach any of its covenants in the Voting Trust
Agreement;

     (c) the voting trust established by the Voting Trust Agreement (the "Voting
Trust") shall expire or otherwise cease to exist other than as a result of the
termination of the Voting Trust Agreement pursuant to section 9.01 thereof;

     (d) except for the Undeposited Shares, any of the Foundation Shares shall
be voted in any manner contrary to the express terms in the Voting Trust
Agreement;

     (e) except for the Undeposited Shares, any of the Foundation Shares shall
not be held on deposit in the Voting Trust and subject to all of the provisions
in the Voting Trust Agreement from the time the Foundation acquires Beneficial
Ownership of that Share until the earlier of (i) the sale of that Share in a
manner that complies with clause (f) or (ii) the Selldown Completion Date;

     (f) any of the Foundation Shares shall be withdrawn from the Voting Trust
for any reason other than a sale consummating at the time of such withdrawal
that causes the Foundation to cease to Beneficially Own that share.

     The term "Undeposited Shares" means Foundation Shares which (i) have not
been deposited in the voting trust established by the Voting Trust Agreement and
(ii) in the aggregate are at all times less than 5% of the outstanding common
stock of Cobalt and, if Cobalt shall issue any equity security other than common
stock, are less than 5% of the outstanding common stock

                                       4
<PAGE>

and less than levels of ownership of Cobalt shares that (but for this Addendum)
could provide a basis for termination of the Cobalt Primary Licenses as then
constituted.

     2.4 Foundation Independence. A Triggering Event shall be deemed to have
occurred if at any time prior to the Selldown Completion Date without the
written consent of the National Association the Foundation shall not be
independent of all federal, state, local and other governmental authority over
its affairs including any authority over the composition and membership of its
board of directors, other than customary regulatory powers exercised by the
Wisconsin Attorney General over similar situated entities, provided that (i) the
nomination, selection and/or election of directors of the Foundation in
accordance with the provisions of the Articles of Incorporation and Bylaws for
the Foundation as constituted on the date hereof shall not be deemed to breach
this Section 2.4 but (ii) the election or other appointment of any person to the
Foundation Board shall constitute a Triggering Event if that person shall be an
officer, agent, employee or independent contractor of any governmental entity
having regulatory authority over the affairs of the Foundation, Cobalt, or any
licensed controlled affiliate of Cobalt, whether federal, state or local.

     2.5 Impairment of the Permanent Protections. A Triggering Event shall be
deemed to have occurred if at any time without the written consent of the
National Association:

     (a) Any person who does not qualify as an "Independent Director" under
Cobalt's Charter as constituted on the date hereof shall be elected or appointed
to the Cobalt Board of Directors and immediately after such election or
appointment, less than 80% of the sitting members of the Cobalt Board shall
constitute Independent Directors, or such lesser percentage as contemplated
under the provisions of Article III, Section 4 of the Cobalt Charter, or

     (b) The Cobalt Board shall use its discretionary powers under the Cobalt
Charter to cause any person not to constitute a "Major Participant" who would
but for such Board action have constituted a Major Participant under Article
III, Section 4 of the Cobalt Charter, or

     (c) The Cobalt Board shall take any action that impairs or eliminates
Cobalt's ability to eliminate any concentrated ownership of Cobalt shares that
could provide grounds for termination of any of the Cobalt Licenses including
but not limited to any such action under clause (12) in the definition of
Beneficial Ownership in Article V, Section 1 of the Cobalt Charter or any such
action with respect to "Excess Shares" as defined in Article V, Section 1 of the
Cobalt Charter; or

     (d) Any of the provisions in Articles V, VII, VIII or X of Cobalt's Charter
shall be amended, eliminated or otherwise impaired or any person shall be
permitted, by the ruling of any court or otherwise, to take any action contrary
to the terms of any of those provisions; or

     (e) The Cobalt Charter shall be amended to eliminate, change or impair the
language in Article IV that reads

                                       5
<PAGE>

    "In no event shall any director be deemed to breach any fiduciary duty or
    other obligation owed to any stockholders of the Corporation or any other
    person by reason of (i) his or her failure to vote for (or by reason of such
    director's vote against) any proposal or course of action that in such
    director's judgment would breach any requirement imposed by the Blue Cross
    and Blue Shield Association (or its then successor) ("the BCBSA") or could
    lead to termination of any license granted by the BCBSA to the Corporation
    or any subsidiary or affiliate of the Corporation, or (ii) his or her
    decision to vote in favor of any proposal or course of action that in such
    director's judgment is necessary to prevent a breach of any requirement
    imposed by the BCBSA or could prevent termination of any license granted by
    the BCBSA to the Corporation or any subsidiary or affiliate of the
    Corporation"; or

     (f) Any shares known by Cobalt to be Excess Shares under the terms of
Article V of Cobalt's Charter shall not be voted in accordance with the terms of
Cobalt's Charter; or

     (g) Any of the provisions in Section 2.02, 2.12, 3.04 or 3.11 of Cobalt's
Bylaws shall be amended, eliminated or otherwise impaired or any person shall be
permitted, by the ruling of any court or otherwise, to take any action contrary
to the terms of any of those provisions; or

     (h) any warranty by Cobalt in Section 6.4 shall not be correct (whether or
not Cobalt or any other person knew or could have known that such warranty was
incorrect); or

     (i) BC Holdings beneficially owns or otherwise controls any stock or other
securities of Cobalt; or

     (j) BC Holdings exists as a separate legal entity beyond the date hereof.

     2.6 Notice. Cobalt shall notify the National Association in writing
immediately after Cobalt learns of any development or state of facts that
constitutes a Triggering Event.

     3.   Termination Provisions.

     3.1 Automatic Termination. Except as otherwise provided in Section 3.2 or
Section 3.3, all Cobalt Licenses shall automatically terminate thirty days after
Cobalt first learns of any development or state of facts that constitutes a
Triggering Event under the terms of this Addendum. The termination of any of the
Cobalt Licenses under any of the provisions in this Addendum shall have the
consequences prescribed in paragraphs 11 and 15(d) (including subparagraph (iii)
of paragraph 15(d)) of the Cobalt Primary Licenses and other consequences
consistent therewith arising out of the terms of the Cobalt Licenses, this
Addendum or other applicable provisions.

                                       6
<PAGE>

     3.2 Waiver Request.

     (a) Cobalt shall have the right to request that the National Association
grant a waiver to prevent or reverse an automatic termination under Section 3.1.
Any such request shall (i) describe the Triggering Event, (ii) describe the
action Cobalt proposes to take in response to the Triggering Event, and (iii)
describe the action from the National Association requested by Cobalt in
connection with the Triggering Event.

     (b) If in connection with any particular Triggering Event, Cobalt shall
actually deliver a waiver request to the National Association in writing on or
prior to the thirtieth day (the "Request Deadline") after Cobalt first learns of
the development or state of facts that constitutes that Triggering Event, then
no automatic termination shall become effective by reason of the occurrence of
that particular Triggering Event until the conclusion of the first meeting of
the members of the National Association that occurs after receipt of such a
waiver request.

     (c) If in connection with any particular Triggering Event, Cobalt shall not
deliver a waiver request to the National Association in writing on or prior to
the Request Deadline but shall do so after the Request Deadline, then the
National Association shall have the right to temporarily reinstate all or any
one or more of the Cobalt Licenses effective from the date upon which they would
otherwise have automatically terminated under Section 3.1 upon such terms and
subject to such conditions as the National Association may prescribe and utilize
the procedure prescribed in Section 3.3 to determine whether the Cobalt Licenses
shall terminate or whether an Alternative Outcome shall be prescribed. In no
event shall the National Association be deemed obligated to grant any such
temporary reinstatement and unless the National Association does so the
automatic termination of the Cobalt Licenses effected under Section 3.1 shall be
permanent.

     3.3 Members' Disposition.

     (a) If any automatic termination of the Cobalt Licenses shall have been
postponed pursuant to the provisions of Section 3.2 until a particular meeting
of the members of the National Association, then such automatic termination
shall become effective at the conclusion of that meeting unless a Double
Disinterested Majority in their sole discretion prescribe an alternative outcome
(herein called an "Alternative Outcome").

     (b) The Alternative Outcome may have any terms as the Double Disinterested
Majority shall prescribe and (without limiting by implication the discretion of
such Double Disinterested Majority) may be (i) an interim outcome (such as the
postponement of a final decision to a subsequent meeting subject to such
conditions as such Double Disinterested Majority shall prescribe) or (ii) a
final outcome in which Cobalt's right to retain the Cobalt Licenses may be made
subject to such terms and conditions as the Double Disinterested Majority may
prescribe and in which the terms of those Cobalt Licenses and or this Addendum
may be changed in such manner as the Double Disinterested Majority may
prescribe. The Double Disinterested Majority shall also have the right to
delegate to any committee, group or person the right to establish any of the
terms of an Alternative Outcome, to administer any Alternative Outcome, and/or
to make determinations required under the Alternative Outcome (such as a

                                       7
<PAGE>

determination as to whether Cobalt has satisfied any conditions that may be
prescribed in the Alternative Outcome for the continuation of the Cobalt
Licenses).

     (c) If Cobalt shall be dissatisfied with any Alternative Outcome, Cobalt
shall have the right to elect to have the Cobalt Licenses automatically
terminate rather than accept such Alternative Outcome. Unless Cobalt shall
expressly agree in writing to the terms of an Alternative Outcome not later than
the Acceptance Deadline, the Cobalt Licenses shall automatically terminate on
the Acceptance Deadline. Unless the Double Disinterested Majority shall
prescribe another date, the Acceptance Deadline for any Alternative Outcome
shall be the third business day after the Double Disinterested Majority approves
the Alternative Outcome.

     (d) For purposes of this Agreement, the term "Double Disinterested
Majority" means a majority of the disinterested members of the National
Association and a majority of the total then current weighted vote of the
disinterested members of the National Association.

     3.4 Each Triggering Event Operates Independently. Each Triggering Event
shall operate independently of any other Triggering Event for purposes of this
Addendum. Every Triggering Event shall constitute a separate and self-sufficient
cause for automatic termination of the Cobalt Licenses regardless of whether any
prior occurrence of such event or any other event shall have been waived
absolutely or conditionally. Accordingly whenever a development occurs or a
state of facts exists that constitutes a Triggering Event under any of the
provisions in Part 2, (i) that development or state of facts shall cause an
automatic termination of the Cobalt Licenses under Section 3.1 unless a separate
Alternative Outcome shall be separately approved for that particular Triggering
Event under the provisions of Section 3.3 and (ii) the result prescribed in
clause (i) shall occur regardless of whether one or more Triggering Events shall
have earlier occurred and regardless of the outcome of any preceding Triggering
Event.

     3.5 Association's Independent Authority. The National Association shall
have the right and power to make each determination available to it under this
Addendum in such manner as the National Association shall determine in its sole
discretion and shall not be under any explicit or implicit obligation to act in
any particular manner or to avoid any particular course of action. Without
limiting by implication the generality of the preceding provisions, in no event
shall the National Association have any duty or obligation (i) to prevent any
automatic termination of the Cobalt Licenses or to approve any Alternative
Outcome to any such automatic termination or (ii) to treat any particular
development or circumstances in a manner consistent with the manner in which the
National Association treated any prior development or circumstances (whether
involving Cobalt or any other National Association member).

     4. License Relationships.

     4.1 This Addendum Controls. The Cobalt Primary Licenses and all other
Cobalt Licenses granted on or after the date hereof shall be deemed subject to
this Addendum regardless of whether any such Cobalt License explicitly so states
or otherwise refers to this Addendum. In the event there shall be any conflict
between any provision in this Addendum and any provision in any of the Cobalt
Licenses, this Addendum shall control.

                                       8
<PAGE>

     4.2 No Other Waiver. Nothing herein shall constitute a waiver of the
National Association's rights to terminate the Cobalt Licenses for any reason
allowed under the Cobalt Licenses other than the reason expressly waived in Part
1 of this Addendum.

     4.3 Cancellation of Preceding Licenses. All agreements, understandings or
other circumstances which were made or arose prior to the date hereof granting
Old Parent, Cobalt or any of their respective subsidiaries, affiliates or
predecessors licenses or rights in the Blue Cross name or Blue Shield name or
other rights licensed by the National Association are hereby terminated, and
neither Cobalt nor Old Parent nor any of their respective affiliates shall have
any rights under or by reason of such earlier agreements, understandings or
other circumstances. The rights of Cobalt and its subsidiaries and affiliates to
use the Blue Cross name, the Blue Shield name and other rights licensed by the
National Association shall instead be derived from and after the date hereof
exclusively from the Cobalt Licenses and related written agreements granted on
or after the date hereof. No rule of strict construction, rule resolving
ambiguities against the person who drafted the provision giving rise to such
ambiguities, or other such rule of interpretation shall be applied against any
party with respect to this Addendum or any Cobalt License.

     5. Definitions. The following terms shall have the following meanings as
used herein:

     Beneficially Own. The terms "Beneficially Own" and "Beneficial Owner" each
has the meaning it is given in Article V of the Charter as constituted on the
date hereof. For purposes of determining the percentage of outstanding shares
that any particular person (including the Foundation) shall be deemed to
Beneficially Own at any particular time, the number of outstanding shares shall
be deemed equal to the number of shares then actually outstanding plus any
shares not then outstanding that the particular person shall be deemed to
Beneficially Own at that particular time.

     Charter. The term "Charter" means Cobalt's Certificate of Incorporation.

     Common Share. The term "common share" means a share of common stock.

     Common Stock. The term "common stock" means common stock issued or issuable
by Cobalt.

     Cobalt Licenses. The term "Cobalt Licenses" designates and includes both
the Cobalt Primary Licenses and any other licenses which shall have been granted
by the National Association to Cobalt or to any subsidiary or affiliate of
Cobalt and shall be in effect at the time as of which the term shall be applied.
In the event the Cobalt Primary Licenses shall terminate, such termination shall
have the effect of terminating all other Cobalt Licenses and terminating the
right of any Cobalt subsidiary or affiliate to use the Blue Cross or Blue Shield
name and all other names or rights licensed from the National Association.

     Cobalt Primary Licenses. The term "Cobalt Primary Licenses" means (i) the
license to use the Blue Cross name and all other rights granted under or by
reason of the Blue Cross License Agreement dated the date hereof between the
National Association and Cobalt and under any amendments or supplements to, or
restatements or replacements of, that Agreement

                                       9
<PAGE>

and (ii) the license to use the Blue Shield name and all other rights granted
under or by reason of the Blue Shield License Agreement dated the date hereof
between the National Association and Cobalt and under any amendments or
supplements to, or restatements or replacements of, that Agreement.

     Cobalt Share. The term "Cobalt share" designates and includes a share of
common stock or a share (or other basic unit) of any class, series or kind of
any other equity security which Cobalt may at any time issue or be authorized to
issue.

     6. Miscellaneous.

     6.1 Assignment. Cobalt shall not assign its rights or obligations under
this Addendum to any other person without the prior written consent of the
National Association. The National Association shall have the right to assign
its rights under this Addendum to any corporation or other entity which shall
assume any of its responsibility for the Blue Cross or Blue Shield name or other
rights licensed under the Cobalt Primary Licenses. This Addendum and the
provisions hereof shall be binding upon each of the parties, and their
successors and assigns, and shall inure to the benefit of each party's
successors and permitted assignees.

     6.2 Amendment. Any term or provision of this Addendum may be amended, and
the observance of any term of this Addendum may be waived (either generally or
in a particular instance and either retroactively or prospectively) only by a
writing signed by the party to be bound thereby. The failure of any party to
enforce any of the provisions hereof shall not be construed to be a waiver of
the right of such party thereafter to enforce such provisions. No oral agreement
arrangement or understanding which might otherwise affect the rights or
obligations of any person under or by reason of this Addendum or any of the
Cobalt Licenses shall be effective to change any of the rights or obligations
that would otherwise arise under or by reason of this Addendum or any of the
Cobalt Licenses.

     6.3 Specific Enforcement. Each of the parties acknowledges that the other
party will be irreparably harmed and that there will be no adequate remedy at
law for a violation of any of the covenants of the other party set forth herein.
Therefore, it is agreed that, in addition to any other remedies that may be
available to either party to this Addendum in connection with any such violation
or prospective violation, such party shall have the right to enforce such
covenant by specific performance, by injunctive relief or by any other means
available to such party at law or in equity.

     6.4 Cobalt Warranties. Cobalt warrants to the National Association that:
(i) the Wisconsin Reorganization has become effective in Wisconsin on the terms
and with the effect described in the proxy statement/prospectus, dated January
31, 2001, by UWSI and that proxy statement/prospectus does not contain any
misstatement of a material fact or omit any material fact necessary to prevent
any statement made therein from being misleading; (ii) the terms of Cobalt's
Charter, Cobalt's Bylaws, the Voting Trust Agreement and the Registration Rights
Agreement between Cobalt and the Foundation and the Foundation's Articles of
Incorporation and Bylaws, all as constituted immediately after the Wisconsin
Reorganization and as constituted at the time of the execution and delivery of
this Addendum are identical to the terms of such documents supplied to BCBSA on
March 22, 2001 via e-mail from Thomas Rose

                                       10
<PAGE>

of Foley & Lardner; (iii) except for those changes provided to the National
Association in writing prior to the date hereof; (iv) the Foundation has
executed and delivered the Voting Trust Agreement and the Registration Rights
Agreement; (v) there are no agreements or understandings that govern the rights
or obligations of Cobalt or the Foundation with respect to each other except
those cited in clause (iii) or disclosed to the National Association prior to
the date hereof; (vi) on the date hereof and after giving effect to the
consummation of the Wisconsin Reorganization, the Foundation Beneficially Owns
not more than 80.0% of Cobalt's outstanding common stock; (vii) on the date
hereof and after giving effect to the consummation of the Wisconsin
Reorganization, Cobalt has no knowledge that any person other than the
Foundation Beneficially Owns more than 5% of Cobalt's outstanding common stock;
(viii) on the date hereof and after giving effect to the consummation of the
Wisconsin Reorganization there are no Cobalt shares outstanding other than
common stock and Cobalt has no obligation to issue any Cobalt shares other than
common stock; and (ix) the Board of Directors of Cobalt is on the date hereof
comprised exclusively of the individuals named in the proxy statement/prospectus
cited in clause (i) as the individuals who will serve on such Board after
completion of the Consummating Merger.

     6.5 Citations. The citations in this Addendum to provisions in Cobalt's
Charter, Bylaws, and Voting Trust Agreement are to the versions of those
documents cited in clause (iii) of Section 6.4 and in the event the nomenclature
used in such document shall change, then the citation in this Addendum shall be
deemed to refer to the provision in that document having the same wording as the
provision in the original document cited in clause (iii) of Section 6.4.

     6.6 Illinois Law Governs. The internal laws of the State of Illinois
(irrespective of its choice of law principles) shall govern all issues
concerning the validity of this Addendum, the construction of its terms, and the
interpretation and enforcement of the rights and duties of the parties.

     Each of the parties has executed this Addendum to evidence its agreement to
be bound by all of its terms.

                         Blue Cross and Blue Shield Association

                         By: /s/ Scott P. Serota
                            ----------------------------------------------------
                            Name:  Scott P. Serota
                            Title: President

                         Cobalt Corporation
                         (a Wisconsin corporation identified herein as "Cobalt")

                         By: /s/ Thomas R. Hefty
                            ----------------------------------------------------
                            Name:  Thomas R. Hefty
                            Title: Chief Executive Officer

                                       11

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