Highmark and Blue Cross and Blue Shield Kansas City have announced plans to affiliate.
The insurers revealed on Thursday that they will enter into an affiliation where Blue Cross KC will maintain its local brand and operations, but will be able to tap into Highmark’s resources to accelerate innovation for its members. Highmark is the fifth-largest Blues plan in the U.S.
Through the affiliation, Blue Cross KC’s financial reserves and earnings will remain within its organization, and Highmark will support its evolution through administrative capabilities, technology and new tools to enable the insurer to build new products and operational efficiencies.
Erin Stucky, CEO of Blue Cross KC, said in the announcement that after a “comprehensive” process to find a partner, the team is “confident” that Highmark was the right choice to “help us deliver greater value for our community.”
“Blue KC’s affiliation with Highmark strengthens our legacy of building healthier Kansas City communities,” said Stucky. “We explored a number of opportunities to build on our commitments to the Kansas City region and be responsive to market needs.
The insurer said it tapped expert advisers to narrow down the affiliation partner that best met its needs, and Highmark was ultimately selected based on its proven track record of affiliation, shared non-profit status and mission-driven culture.
Highmark will bring its experience in provider engagement, population health, technology and data analytics to the table in the affiliation. The insurer includes 7.1 million health plan members and a network with 190,000 providers, including in rural regions.