Blue Cross and Blue Shield of Minnesota will tap an Anthem subsidiary to complete back-office services for its state Medicaid plans, the Star Tribune reports.
Under the partnership, Anthem's AmeriGroup will take over the back-end services. The shift arrives as Minnesota's managed Medicaid program faces changes. Last year, health insurer Medica largely exited the state program, and Minnesota lawmakers opened the market to for-profit health maintenance organizations for the first time in decades, according to the report.
BCBS of Minnesota said in a statement to the Star Tribune, "To continue to better serve our Medicaid members now and in the future, we're establishing a partnership to acquire best-in-class capabilities for our members," and the "extent of this partnership is limited to our Medicaid business within Minnesota."
Financial terms of the partnership were not disclosed. BCBS said it anticipates any employees affected by the change will be reassigned to its Medicare Advantage arm or another unit.
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