An­them, Aurora Health Care plan joint in­surance ven­ture

Modern Healthcare - - REGIONAL NEWS - —Bob Her­man

Roughly 18 months af­ter An­them rocked the health­care busi­ness com­mu­nity with a new provider-in­surance al­liance in Cal­i­for­nia, the in­surer has for­mu­lated an­other sim­i­lar project. An­them and Mil­wau­kee-based Aurora Health Care will co-own a new health in­surance com­pany.

An­them’s Wis­con­sin sub­sidiary and Aurora, a 15-hospi­tal sys­tem, will each own 50% of Wis­con­sin Col­lab­o­ra­tive In­surance Co., a newly li­censed in­surer. The joint ven­ture some­what re­sem­bles Viv­ity, the health in­surance prod­uct cre­ated in Septem­ber 2014 by An­them’s Cal­i­for­nia sub­sidiary and seven South­ern Cal­i­for­nia health sys­tems.

The new in­surer will of­fer a com­mer­cial health plan called Well Pri­or­ity to fully in­sured and self-in­sured em­ploy­ers. Cov­er­age will go into ef­fect Jan. 1, 2017, although the in­surance com­pany will be op­er­a­tional by the end of this year. Of­fi­cials said there are plans to in­clude Medi­care, Med­i­caid, in­di­vid­ual and small-group prod­ucts, but not in the im­me­di­ate fu­ture.

What makes the joint ven­ture dif­fer­ent from Viv­ity is the fi­nan­cial risk within the prod­uct’s net­work. Only An­them and Aurora split the prof­its and losses 50-50, but Aurora is not the only provider sys­tem within the net­work.

Newspapers in English

Newspapers from USA

© PressReader. All rights reserved.