Cambia Health Solutions and Blue Cross and Blue Shield of Arkansas have signed a definitive agreement to form a strategic affiliation.
Under the agreement, Arkansas Blue Cross will continue to operate as an Arkansas-based health insurance company, maintaining its local brand identity, board of directors and its philanthropic foundation, according to a Nov. 6 news release.
The move has been several months in the making. Arkansas Business reported in January that Arkansas BCBS was pursuing an agreement with Portland, Ore.-based Cambia, the parent company of Regence BlueShield, which operates in Oregon, Washington, Idaho and Utah. Reports of the potential deal came after Arkansas BCBS recorded a loss of more than $100 million in the first three quarters of 2024.
The organizations said in the release that sharing operations teams and core technology platforms will enhance customer and member experience, support broader access to high-quality care and help to contain costs.
“Healthcare is changing quickly; to ensure we continue to be well positioned to serve our members now and into the future we must evolve in completely new ways,” Arkansas Blue Cross CEO Curtis Barnett said in the release. “Joining with Cambia preserves the critical mission of nonprofit community-focused health insurance.”
The affiliation is subject to regulatory approval in Arkansas and is expected to close in 2026.
In August, Cambia announced plans to form a similar affiliation with Blue Cross Blue Shield of North Dakota. That affiliation is also expected to close in 2026.
