BPS Healthcare Plans to Acquire VivaHealth
BPS Healthcare has entered into an agreement to acquire a Los Angeles-based health maintenance organization as part of a plan to expand its coverage into Ventura County.
The acquisition of VivaHealth Plan is subject to the approval of the California Department of Corporations.
BPS Healthcare (formerly Benefit Panel Services) is a 210,000-member managed-care company that offers preferred provider organization and exclusive provider organization services to employers throughout California.
The company is privately held and owned by ITT Hartford Life Insurance Co., Massachusetts Mutual Life Insurance Co., and NYLCare Health Plans, a subsidiary of New York Life Insurance Co.
“The acquisition of VivaHealth will allow BPS to enter the HMO marketplace quickly and provide a full-service product portfolio,” said Barbara E. Rodin, BPS president and chief operating officer.
While VivaHealth’s service area and target market is currently limited to East Los Angeles and the Latino marketplace, BPS intends to include a more diverse population and expanded service area.
BPS’ application to the state includes a proposed service area expansion initially encompassing the east San Gabriel and San Fernando valleys, Glendale, Burbank, Pasadena and Orange County.
A second proposed expansion of the VivaHealth service area would follow state approval of the acquisition and would include Ventura County, officials said.
