Medical Mutual to acquire HealthSpan’s insurance business

Medical Mutual of Ohio announced it would roster 105,000 members currently enrolled in HealthSpan Partners individual and group plans — a move that essentially marks the end of the former Kaiser Permanente of Ohio insurance operation.

The agreement calls for HealthSpan – the former Kaiser group – to continue insuring members enrolled in employer-sponsored plans until their renewal date or August 31, whichever comes first, and individual members until as of December 31, according to a press release from Medical Mutual. Medical Mutual said in its statement that HealthSpan members have nothing to do at this time and that Medical Mutual will contact customers with information about replacing their current coverage. “Medical Mutual has plans with comparable coverage based on rates, benefits, and provider network, which the plan says is likely to include the same physicians offered by the HealthSpan network,” Jared Chaney said. , director of communications for Medical Mutual, in a statement. “We will work hard to transfer as many HealthSpan members to us as possible. We think we will be a great choice for them. HealthSpan spokesperson Chuck Heald said his organization would cease operations on January 1, 2017. Earlier this year, HealthSpan announced it would disband its medical group, and many of its doctors have since been hired by d other systems, in particular the MetroHealth system. HealthSpan had hoped to move forward as an insurer, but market competition proved too fierce. “We were a small plan and we weren’t able to achieve the growth needed to be sustainable or viable in the market,” Heald said. HealthSpan, the insurance arm of Cincinnati-based Mercy Health, acquired the business of Kaiser Permanente of Ohio in the fall of 2013. However, since the acquisition, HealthSpan has not been able to turn the group into a business. profitable.