Pennsylvania Insurers Highmark and Independence Blue Cross Call Off Merger
Following up on a post from Wednesday, Highmark and Independence Blue Cross have decided to abandon their plans for a merger, says Martha Raffaele of the Associated Press. The Pennsylvania health insurance companies did not want to agree to give up either the Blue Cross or Blue Shield trademark, which the Insurance Department was requiring.
Highmark is dominant in western Pennsylvania, while Independence Blue Cross is mainly in Philadelphia. A merger would have made the combined insurer the largest health insurance provider in the state. Insurance commissioner Joel Ario believes that a merger would have a negative impact on consumers’ health care access and choice unless another competitor was allowed to enter the market with a Blue name.
