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HMSA and Healthways Enter New 10 Year Agreement

Posted January 25, 2011, 12:25 PM HST Updated January 25, 2011, 12:53 PM HST
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By Wendy Osher

The Hawaii Medical Service Association (HMSA) today entered into a 10-year agreement with Healthways today. The expanded relationship is aimed at continued support of quality, affordable health care, and increased focus on the patient-physician relationship.

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Under the agreement, Healthways assumes responsibility for HMSA’s disease management, care management, pharmacy benefit management, and health prevention functions for the plan’s approximately 700,000 members.

In addition, the two organizations will work together to further develop and implement HMSA’s state-wide patient-centered medical home initiative.

“This is an important part of our effort to provide our members the best quality, most affordable health care in the nation,” said Robert P. Hiam, president and CEO of HMSA. Hiam said the expanded relationship enables HMSA to streamline its core business functions and expand patient support services.

For the past 10 years, Healthways has been delivering HMSA’s health coaching and CareConnection chronic disease programs from its facility in Kapolei.  the current clinical and operations staff numbers about 60.

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HMSA will also transfer operations of HMSA subsidiary Integrated Services, Inc. (ISI) to Healthways.  Officials say approximately 125 HMSA and ISI employees will be offered positions by Healthways.

“Both organizations long have been convinced of the real value for members and providers resulting from effective integration of services. The arrangement between us takes that integration to a new and exciting dimension,”  said Ben R. Leedle, Jr., Healthways CEO.

“As has been the case with so many other innovations over the past decade, we are convinced that this new approach will distinguish itself as a model for the entire health insurance industry.” said Leedle.

(Supporting information courtesy Healthways and HMSA)

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