Priority Health, a Grand Rapids, Mich.-based HMO, closed on its previously announced acquisition of the 143,000-member insurance unit of Trinity Health, Novi. Mich. Terms of the deal have not yet been disclosed. Completion of the deal came after the Michigan Office of Financial and Insurance Services granted its final approval March 29.
The Trinity Health Plans unit operates a 100,000-member HMO and two PPOs with a total of 43,000 members under the Care Choices and Preferred Choices brands. The addition of that business expands Priority Healths reach into eastern Michigan, doubles the size of its provider network and boosts its enrollment by nearly a third to about 585,000 members, officials said.
Priority Health is owned by three local, not-for-profit healthcare systems, including seven-hospital Spectrum Health, Grand Rapids; six-hospital Munson Healthcare, Traverse City; and 192-bed Northern Michigan Regional Health System, Petoskey. Earlier this week, Trinity announced plans to sell its 50% stake in St. Josephs Healthcare, Clinton Township, Mich., to co-owner Henry Ford Health System, Detroit, as part of its continuing efforts to streamline its operations. -- by Laura B. Benko