Blue Cross and Blue Shield of Kansas City (Mo.) and Highmark are affiliating. While this is far from Highmark’s first affiliation agreement, there is not a one-size-fits-all blueprint.
Four leaders from the organizations spoke with Becker’s about how the arrangement will play out.
“Every affiliation is a little bit different,” Deb Rice-Johnson, CEO of diversified businesses for Highmark and chief growth officer, said. For example, while a previous deal with HealthNow led to a rebrand, that is not the case for Blue KC. Maintaining the Blue KC brand was a priority to continue securing recognition from customers and providers.
“We agreed with that. That was something that we needed to be flexible on,” Ms. Rice-Johnson said.
Blue KC’s local leadership and headquarters will also remain.
Blue KC President Jenny Housley and CEO Erin Stucky confirmed the organization’s interest in maximizing Highmark’s investments in technology and health solutions.
“As we think about investments required for technology, data, additional capabilities, as well as the importance of diversification … we felt it was important to evaluate the Blues landscape and identify the opportunity to partner with a plan that was also like minded to Blue KC,” Ms. Stucky said.
Blue KC was unable to share how the affiliation would affect pricing and administrative costs, but the leaders said they hope the collaboration will boost member and provider experience, drive better outcomes and improve affordability.
The key to the affiliation: Both Highmark Health CEO David Holmberg and Ms. Stucky said the organizations share a mission-driven nature.
“We don’t have pride of authorship,” Mr. Holmberg said. “Our focus is on who’s got the best idea that meets the need and serves the community the most effectively.”
