Blue Cross must create foundation before Highmark merger

Blue Cross Blue Shield of Delaware must create and fund a healthcare foundation if it wants to merge with Pittsburgh-based Highmark, Attorney General Beau Biden announced last week. The foundation would ensure that BCBSD's $165 million pot of reserves that accrued at the expense of Delaware taxpayers be used for the benefit of Delaware residents. Biden's order came as part of a determination that the Blue Cross-Highmark deal constitutes a "nonprofit healthcare conversion" under a 2004 state law, which was designed to protect public investment in nonprofits that had become takeover targets. --To learn more, read the full story in FierceHealthPayer

Suggested Articles

The profit margins and management of Community Health Group raise questions about oversight of managed care insurers.

Financial experts are warning practices about the pitfalls of promoting medical credit cards to their patients.

A proposed rule issued by HHS on Tuesday would expand short-term coverage, a move Seema Verma said will have "virtually no impact" on ACA premiums.