The Regence Group
Encyclopedia
The Regence Group is a nonprofit Blue Cross Blue Shield
licensed health insurance
company headquartered in Portland, Oregon
. It is licensed to sell health insurance plans under the Blue Cross Blue Shield name in Utah
, and Oregon
. It is licensed under the Blue Shield name in Idaho
and western Washington. Its non-Blue subsidiary uses the Asuris name in eastern Washington, because Premera acquired that territory's Blue Shield license in 1998 when it merged with Spokane
's Medical Services Corporation.
Regence has 2.5 million members in Idaho, Oregon, Utah and Washington. It has the largest enrollment of any health insurer in Oregonand Washington. It has offices in each state served, and employs 5,500 people.
Merger activity was a regular event among hospitals and health plans nationally in the 1990s. In the Pacific Northwest, there were approximately 30 health plans in 1997 and by 2002 there were 20. Activity increased when Thurston County Medical Bureau merged with King County
Medical Bureau, and increased more when Pierce County
Medical Bureau and King County Medical Bureau merged with the BlueCross BlueShield of Oregon (which had themselves merged in 1983), to form The Benchmark Group in 1995 under Dick Woolworth's leadership. Richard (Dick) Woolworth's experience as chair of the BlueCross BlueShield Association would prove useful in his new role as CEO, as he led TBG in their coming wave of M&A activity. BlueCross BlueShield of Utah joined in 1996, and BlueShield of Idaho joined shortly thereafter, under an administrative services agreement that allowed BSI to remain owned by its members as a mutual insurance company but have Regence handle the management. Skagit County Medical Bureau and Whatcom County Medical Bureau merged in 1998, as part of the unaligned movement, to form Northwest Washington Medical Bureau. In 2001, Northwest Washington Medical Bureau merged with Regence. In 2003, Dick Woolworth retired, his place taken by Mark Ganz. In 2006, Regence renamed one of its three Portland buildings in Woolworth's honor.
In 1999, RegenceRx was created as a nonprofit Pharmacy Benefit Manager. It's leadership on comparative effectiveness research of prescription medications is respected within the industry.
In 2005, Regence received 24.8% of the customer complaints with the Washington Insurance Commissioner, with a share of 22.3% of the market.
Regence’s president, Mark Ganz, earned $897,671 from Regence BlueShield in Washington in 2008, including a bonus of $550,548. In Oregon, his compensation package totaled $872,665. In both states, Ganz brought home $1,770,336. The other high ranking Regence officials with six-figure salaries included Mohandas Nair, executive vice president and chief marketing executive, who earned $356,681 from Washington, and $295,140 from Oregon for a total of $651,821. Regence’s treasurer, Steve Hooker, treasurer, who’s announced his retirement, earned $337,543 from Washington and $304,641 in Oregon for a total of $642,184. William Barr, executive vice president of operations, took home $430,926 from Washington, and $377,119 from Oregon for a total of $808,045. And, Kerry Barnett, executive vice president of Regence’s corporate division, earned $312,482 from Washington and $302,990 in Oregon for a total of $615,472.
According to its website, Regence used 86.3 cents of each premium dollar in 2010 to pay medical claims. Oregon publishes this "medical loss ratio" information for major insurers in that state.
Blue Cross and Blue Shield Association
The Blue Cross Blue Shield Association is a federation of 39 separate health insurance organizations and companies in the United States. Combined, they directly or indirectly provide health insurance to over 100 million Americans. The history of Blue Cross dates back to 1929, while the history of...
licensed health insurance
Health insurance
Health insurance is insurance against the risk of incurring medical expenses among individuals. By estimating the overall risk of health care expenses among a targeted group, an insurer can develop a routine finance structure, such as a monthly premium or payroll tax, to ensure that money is...
company headquartered in Portland, Oregon
Portland, Oregon
Portland is a city located in the Pacific Northwest, near the confluence of the Willamette and Columbia rivers in the U.S. state of Oregon. As of the 2010 Census, it had a population of 583,776, making it the 29th most populous city in the United States...
. It is licensed to sell health insurance plans under the Blue Cross Blue Shield name in Utah
Utah
Utah is a state in the Western United States. It was the 45th state to join the Union, on January 4, 1896. Approximately 80% of Utah's 2,763,885 people live along the Wasatch Front, centering on Salt Lake City. This leaves vast expanses of the state nearly uninhabited, making the population the...
, and Oregon
Oregon
Oregon is a state in the Pacific Northwest region of the United States. It is located on the Pacific coast, with Washington to the north, California to the south, Nevada on the southeast and Idaho to the east. The Columbia and Snake rivers delineate much of Oregon's northern and eastern...
. It is licensed under the Blue Shield name in Idaho
Idaho
Idaho is a state in the Rocky Mountain area of the United States. The state's largest city and capital is Boise. Residents are called "Idahoans". Idaho was admitted to the Union on July 3, 1890, as the 43rd state....
and western Washington. Its non-Blue subsidiary uses the Asuris name in eastern Washington, because Premera acquired that territory's Blue Shield license in 1998 when it merged with Spokane
Spokane
Spokane is a city in the U.S. state of Washington.Spokane may also refer to:*Spokane *Spokane River*Spokane, Missouri*Spokane Valley, Washington*Spokane County, Washington*Spokane-Coeur d'Alene-Paloos War*Spokane * USS Spokane...
's Medical Services Corporation.
Regence has 2.5 million members in Idaho, Oregon, Utah and Washington. It has the largest enrollment of any health insurer in Oregonand Washington. It has offices in each state served, and employs 5,500 people.
History
Regence was formed by a series of mergers in the 1990s to provide a "regional alliance" (Regence) of nonprofit health plans that would be substantial enough to continue operating in its historical service areas as national for-profit insurers entered the market. Among the many medical bureaus and health plans that merged to become Regence is Pierce County Medical Bureau, formed in 1917 in Tacoma.Merger activity was a regular event among hospitals and health plans nationally in the 1990s. In the Pacific Northwest, there were approximately 30 health plans in 1997 and by 2002 there were 20. Activity increased when Thurston County Medical Bureau merged with King County
King County, Washington
King County is a county located in the U.S. state of Washington. The population in the 2010 census was 1,931,249. King is the most populous county in Washington, and the 14th most populous in the United States....
Medical Bureau, and increased more when Pierce County
Pierce County, Washington
right|thumb|[[Tacoma, Washington|Tacoma]] - Seat of Pierce CountyPierce County is the second most populous county in the U.S. state of Washington. Formed out of Thurston County on December 22, 1852, by the legislature of Oregon Territory...
Medical Bureau and King County Medical Bureau merged with the BlueCross BlueShield of Oregon (which had themselves merged in 1983), to form The Benchmark Group in 1995 under Dick Woolworth's leadership. Richard (Dick) Woolworth's experience as chair of the BlueCross BlueShield Association would prove useful in his new role as CEO, as he led TBG in their coming wave of M&A activity. BlueCross BlueShield of Utah joined in 1996, and BlueShield of Idaho joined shortly thereafter, under an administrative services agreement that allowed BSI to remain owned by its members as a mutual insurance company but have Regence handle the management. Skagit County Medical Bureau and Whatcom County Medical Bureau merged in 1998, as part of the unaligned movement, to form Northwest Washington Medical Bureau. In 2001, Northwest Washington Medical Bureau merged with Regence. In 2003, Dick Woolworth retired, his place taken by Mark Ganz. In 2006, Regence renamed one of its three Portland buildings in Woolworth's honor.
In 1999, RegenceRx was created as a nonprofit Pharmacy Benefit Manager. It's leadership on comparative effectiveness research of prescription medications is respected within the industry.
In 2005, Regence received 24.8% of the customer complaints with the Washington Insurance Commissioner, with a share of 22.3% of the market.
Regence’s president, Mark Ganz, earned $897,671 from Regence BlueShield in Washington in 2008, including a bonus of $550,548. In Oregon, his compensation package totaled $872,665. In both states, Ganz brought home $1,770,336. The other high ranking Regence officials with six-figure salaries included Mohandas Nair, executive vice president and chief marketing executive, who earned $356,681 from Washington, and $295,140 from Oregon for a total of $651,821. Regence’s treasurer, Steve Hooker, treasurer, who’s announced his retirement, earned $337,543 from Washington and $304,641 in Oregon for a total of $642,184. William Barr, executive vice president of operations, took home $430,926 from Washington, and $377,119 from Oregon for a total of $808,045. And, Kerry Barnett, executive vice president of Regence’s corporate division, earned $312,482 from Washington and $302,990 in Oregon for a total of $615,472.
According to its website, Regence used 86.3 cents of each premium dollar in 2010 to pay medical claims. Oregon publishes this "medical loss ratio" information for major insurers in that state.