Point32Health Signs Definitive Agreement With Baystate Health to Acquire Health New England

Acquisition would maximize Point32Health and Health New England’s commitment to high-quality, affordable health care throughout the region

Canton and Springfield, Mass., February 15, 2024 — Point32Health, the not-for-profit parent company of Harvard Pilgrim Health Care and Tufts Health Plan, announced today it has signed a definitive agreement with Baystate Health to acquire its subsidiary, Health New England.

Health New England, a not-for-profit health plan in Springfield, offers a range of plans in the commercial, Medicaid and Medicare markets and serves approximately 180,000 members concentrated in Western Massachusetts. Point32Health, a leading health and wellbeing organization based in Canton, offers employer-sponsored plans; Medicare and Medicaid plans; plans on the state exchange and plans for those who are dually eligible for Medicare and Medicaid. Point32Health serves 1.9 million members in Massachusetts, Maine, Connecticut, New Hampshire and Rhode Island.

The acquisition is expected to improve product offerings and expand access to a broader network with wider geographic reach.  Among both organizations’ shared priorities is expanding high-quality programs and services, particularly those that cover underserved populations and seniors, as well as maximizing the benefits that not-for-profit health plans provide to communities.

“Preserving and enhancing strong, high-quality, not-for-profit health plans is critical for Massachusetts health care,” said Cain A. Hayes, president and CEO of Point32Health. “We are excited at the possibility of welcoming Health New England into the Point32Health family of companies. As two health plans that serve commercial, Medicaid and Medicare populations in Massachusetts, we have the shared commitment and expertise to serve people of all socioeconomic backgrounds, especially the underserved, and to improve members’ quality of life through programs and services that improve whole person health.”

“It is vitally important to the communities that we serve that Health New England and its programs continue to grow and evolve,” said Mark Keroack, MD, CEO of Baystate Health. “Point32Health is a vibrant organization and is widely recognized for the quality of its products, strength of its network and commitment to underserved populations. Point32Health offers resources necessary to support Health New England members by advancing its efforts to support wellness, population health and disease management throughout the region.”

Point32Health will harness the strengths of both organizations and bring value to Health New England members and the broader community by:

• Providing greater value to consumers by combining our complementary strengths, administrative efficiencies and a broader product offering
• Expanding access to care for underserved populations and preserving not-for-profit options through extensive experience in serving these populations
• Advancing the quality of health care members receive through a deep commitment to addressing behavioral health, health equity and social determinants of health

The agreement, which was unanimously approved by the Board of Directors of Point32Health and the Board of Trustees of Baystate Health, is subject to regulatory approvals.

About Point32Health
Point32Health is a leading not-for-profit health and well-being organization, delivering a better health care experience to our members and the communities we serve.  One of the top twenty health plans in the United States, Point32Health builds on the quality of our founding organizations, Tufts Health Plan and Harvard Pilgrim Health Care.

At Point32Health, we believe that everyone should have equitable access to affordable, high-quality health care, regardless of their age, race, ethnicity, socioeconomic status, orientation, gender identity or ability.  We offer a diverse range of health plans that help improve the health and wellness of the 1.9 million members we serve.  Every day, we work to deliver on our purpose of guiding and empowering healthier lives for everyone.

We are proud that our Harvard Pilgrim Health Care Commercial Combined HMO and POS plans in Massachusetts and Maine, our Exchange HMO plans in Massachusetts and Maine, as well as Tufts Health Plan’s Medicaid and Exchange HMO plans, have received full Health Equity Accreditation from the National Committee for Quality Assurance (NCQA).

About Baystate Health
Baystate Health is a not-for-profit, integrated healthcare system serving over 800,000 people throughout western Massachusetts. Baystate Health is the largest healthcare organization in western Massachusetts. With roots dating to the founding of Springfield Hospital in 1883, Baystate Health has been providing high-quality and compassionate healthcare in the Pioneer Valley for more than 140 years. Its mission is to improve the health of the people in its communities every day, with quality and compassion. With a focus on quality, safety, experience, and value, Baystate is not only a keystone of the region; it is a national leader in healthcare. Learn more at www.baystatehealth.org.

About Health New England
Health New England is a not-for-profit health plan owned by Baystate Health, that offers a range of health care plans in the commercial, Medicaid and Medicare markets, to members in Western MA. Health New England is committed to exceptional efforts in reducing health disparities, eliminating barriers to care and addressing the unique needs of diverse populations.

In 2023 HNE became the first health plan in Massachusetts and the second in the nation to earn the National Committee for Quality Assurance (NCQA) Health Equity Accreditation recognition for all lines of business; Medicaid, Medicare, Exchange and Commercial.

With a mission to improve the health and lives of the people in the communities we serve, HNE employs over 380 people and invests locally in areas of need to positively impact people and charitable organizations across Western Massachusetts.