Transaction begins Medicaid expansion in metro Detroit for HAP and Henry Ford Health System
DETROIT, September 19, 2019 – Henry Ford Health System and Health Alliance Plan (HAP), a nonprofit health plan and operating unit of Henry Ford, announced today that HAP’s acquisition of Trusted HP – Michigan has received all regulatory approvals and the acquisition became effective on September 13, 2019.
Henry Ford and HAP announced in June that HAP had signed a definitive agreement to acquire Trusted HP – Michigan, a Medicaid plan based in Detroit, formerly known as Harbor Health Plan, Inc. The completion of this transaction solidifies HAP’s re-entrance into the state of Michigan’s Medicaid HMO service area known as Region 10, which includes Wayne, Oakland and Macomb Counties.
“Participation in Michigan’s Region 10 Medicaid service area is a key strategic priority for Henry Ford and HAP given our geographical footprint, and this acquisition positions us for Medicaid growth in our primary service area,” said Wright Lassiter III, President and CEO, Henry Ford Health System. “HAP and Henry Ford are dedicated to using our joint assets and unique integrated health system programs to improve the quality and access to care for this area’s Medicaid patients, which are among our most vulnerable populations.”
HAP acquired Trusted HP – Michigan from Trusted Health Plan Inc., a Washington, D.C.-based managed care organization. Previously named Harbor Health Plan and ProCare Health Plan, the plan has been operating as a licensed HMO in Michigan since 2000. As a result of this transaction, Trusted HP – Michigan’s nearly two dozen employees will become HAP employees.
The terms of the agreement provide for a seamless transition for Trusted HP – Michigan members, who will be able to keep their doctor and continue using their services and current ID cards. There is no impact to current HAP members as a result of this transaction. The Trusted brand will remain in place through the end of 2019. Effective January 1, 2020, all Medicaid members will be under one HAP-branded Medicaid name.
“HAP and Henry Ford Health System are focused on providing Medicaid beneficiaries with a differentiated care model focused on value-based care,” said Dr. Michael Genord, interim president and CEO, HAP. “We are investing in care coordination programs, including those aimed at social determinants of health, to improve the health and well-being of the members we serve. And we are thrilled that this now includes Trusted’s Medicaid members, most of whom are in Wayne County.”
HAP serves 570,000 total members across Michigan. HAP’s subsidiary, HAP Midwest Health Plan, offers Medicaid products under the HAP Empowered name. HAP Empowered is currently available in Region 6, which includes Genesee, Huron, Lapeer, Sanilac, Shiawassee, St. Clair and Tuscola counties. Covered Medicaid programs offered through HAP Empowered include health care coverage for people impacted by the Flint water crisis, MIChild, Healthy Michigan Plan and Children’s Special Health Care Services.
HAP also participates in the MI Health Link Dual Demonstration Project, serving 4,500 members who are eligible for both Medicare and Medicaid in Wayne and Macomb counties, including some of the most underserved areas of Detroit.
About Henry Ford Health System
Henry Ford Health System is a six-hospital system headquartered in Detroit, Michigan. It is one of the nation’s leading comprehensive, integrated health systems, recognized for clinical excellence and innovation. Henry Ford provides both health insurance and health care delivery, including acute, specialty, primary and preventive care services backed by excellence in research and education. Henry Ford Health System is led by President & CEO Wright Lassiter III. Visit HenryFord.com to learn more.
About Health Alliance Plan
Health Alliance Plan (HAP) is a Michigan-based, nonprofit health plan that provides health coverage to individuals and companies of all sizes. For nearly 60 years, HAP has partnered with leading doctors and hospitals, employers and community organizations to enhance the health and well-being of the lives it touches. HAP offers a product portfolio with six distinct product lines: Group Insured Commercial, Individual, Medicare, Medicaid (using the HAP Empowered name), Self-Funded and Network Leasing. HAP excels in delivering award-winning preventive services, disease management and wellness programs, as well as personalized customer service. For more information, visit www.hap.org.
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Lee Ann Welsh, HAP, (248) 443-2082, lwelsh@hap.org
David Olejarz, Henry Ford Health System, (313) 874-4094, david.olejarz@hfhs.org