Dive Brief:
- Independence Health Group, the parent organization for Independence Blue Cross, recently initiated exploratory meetings with other Blue Cross and Blue Shield affiliated plans including Cambia Health Solutions and Highmark to consider possible mergers and other partnerships, The Wall Street Journal reported last week.
- The Journal indicated there are no further formal talks planned, but that conversations are expected to continue among the insurers.
- Following the WSJ report, Independence declined to discuss the meetings and released a statement that downplayed them, notes the Philadelphia Business Journal.
Dive Insight:
The Wall Street Journal suggests Independence and other insurers are weighing mergers or other possible coordinated efforts as part of the wave of industry consolidation occurring alongside federal healthcare overhaul. Most famous among those developments are the pending deals between Aetna and Humana, and Anthem with Cigna, which assuming they are approved, could place additional stress on their remaining competitors.
If any of the Blues are getting serious, however, they aren't talking publicly. Several of those involved in the recent talks framed them as routine.
"Cooperation isn’t new amongst not-for-profit Blue plans. It makes sense these conversations continue during the most dynamic time in our industry," a Cambia spokesperson told the Journal, while Blue Shield of California stated nonprofit Blue plans, "Often explore opportunities for cooperation and collaboration." Highmark said the meetings were "not unlike meetings we have all the time with other Blue plans."