DETROIT, Feb. 1, 2016 /PRNewswire/ -- The merger transaction between HealthPlus of Michigan and Health Alliance Plan (HAP) is complete, resulting in a single company. The two companies said in October they had signed a letter of intent to merge operations. Following an intense due diligence period, they announced in November a definitive agreement to merge. Having received all regulatory approvals, as well as a required vote by HealthPlus members, the merger became effective on February 1, 2016.
The company will maintain the HAP name and remain headquartered in Detroit. The combined company has approximately 1,300 employees and serves 650,000 members.
While HAP has long had a presence in the Flint market, the addition of HealthPlus facilities, employees, products and service areas will significantly increase the company's presence in mid-Michigan. The HealthPlus brand will remain while HealthPlus operations transition into HAP.
"HAP respects the brand value that HealthPlus has in the mid-Michigan region," said Matt Walsh, chief operating officer, Health Alliance Plan. "HealthPlus and HAP members can be confident their existing benefit plan and coverage will stay the same and they'll continue to have access to the same high-quality provider networks and outstanding service. Agents, labor and employer groups will continue to receive the same outstanding service and benefit packages."
"This merger creates a larger, stronger, more competitive company with a solid portfolio of comprehensive products and opportunities for growth," said Mike Genord, M.D., president and CEO of HealthPlus. "As a united Michigan-based nonprofit company, we are committed to providing excellent coverage, care and customer service for our members and customers, who will always be our top priority."
HAP is committed to a seamless integration to ensure HealthPlus members experience a smooth transition to HAP. HealthPlus employer groups will transition to HAP upon their next renewal and individual members will transition to HAP during the next open enrollment period.
Strong synergies in products, service areas and provider networks will enable the company to integrate and build upon its collective strengths. With an increased capacity to partner with high-quality health care providers, HAP is better positioned to deliver value-based, integrated health care to its expanded membership as the company broadens its geographic footprint throughout the southeast and mid-Michigan regions. For more information, visit hap.org.
Lee Ann Welsh
SOURCE Health Alliance Plan (HAP)