One mid-Atlantic health carrier is breaking off a 6-year-old affiliation with another mid-Atlantic carrier.
CareFirst Inc., Owings Mills, Md. says it is ending what it is calling a “productive and mutually beneficial” relationship with Blue Cross and Blue Shield of Delaware, Wilmington, Del., rather than continuing efforts to persuade Delaware Insurance Commissioner Matthew Denn to let it form a “contractual affiliation” with Delaware Blue.
“While both organizations would have preferred to continue their relationship, the CareFirst and [Delaware Blue] boards agreed that further appeals of the matter would be costly, disruptive to operations and not in the best interests of their respective members,” CareFirst says in a statement.
CareFirst now has about 3 million members in Maryland, northern Virginia and the District of Columbia.
Delaware Blue has about 380,000 members in Delaware.
The split should have no effect on the companies’ members and accounts, CareFirst says.
The companies have teamed up through a relatively loose “structural affiliation” since 2000.
The companies have submitted and withdrawn several applications to change the nature of their affiliation since 2000, Delaware officials say.