Two New York health plans intend to merge, creating an organization with nearly 2 million members and 6,000 employees.
The Lifetime Healthcare Co., parent company of insurers Excellus Blue Cross Blue Shield and Univera, plans to merge with Capital District Physicians Health Plan, according to a May 22 news release.
The merger must be approved by federal and state regulators, according to the news release. If approved, Lifetime Healthcare would become the parent of Capital District Physicians Health Plan. Excellus BCBS, Univera and Capital District Physicians would continue to operate as separate brands, according to the release.
The two plans operate mostly in different areas, according to the news release. Capital District Physicians, based in Albany, has 400,000 members and 1,400 employees. Lifetime Healthcare, headquartered in Rochester, has 1.5 million members and 4,500 employees.
Several smaller payers have moved to affiliate with larger plans. In January, Toledo, Ohio-based ProMedica said it would sell its insurance subsidiary, Paramount Health, to Medical Mutual of Ohio.
In October 2023, BCBS Vermont became a subsidiary of BCBS Michigan.