Comptroller Kevin Lembo said Friday that the state has selected Anthem BlueCross and BlueShield and UnitedHealth Group to administer the self-insured medical benefits plan for state employees, retirees and their dependents.
The preliminary agreements are subject to final negotiations, and the term of the contracts will be up to five years.
The Office of the State Comptroller issued a request for proposals (RFP) in November. Lembo said his office, in coordination with the state’s Health Care Cost Containment Committee (HCCCC) — a partnership between labor and management, considered all proposals – spent months on a thorough review process to consider all options.
“This decision was based on … a commitment by the carriers to work in partnership with us to develop more value-based purchasing of health-care services – higher quality at a lower cost,” Lembo said. “We want better contracting for mental health services and integration of those services with primary care; and stronger chronic disease management by physicians.”
The preliminary agreements with Anthem and UnitedHealth to manage the state’s medical plan follow newly renegotiated agreements, some of which are ongoing, for the state’s pharmacy, dental and defined-contribution plans on behalf of employees, retirees and dependents, Lembo said.
The state’s existing contracts for the medical plan – that expire June 30 — are also with Anthem and UnitedHealth. The structure of the benefits and plan designs offered by both are the same; the only substantive difference between the benefit options are network size and pricing offered by each carrier.
In addition to providing benefits to state employees, retirees and dependents, the state’s medical plan also covers employees in the probate court system, General Assembly members, former legislators, and other groups, as authorized by statute.
