Blue Shield of California will acquire Bakersfield-based GEMCare Health Plan. GEMCare is active in the commercial and Medicare markets in Kern County and the Central Coast. With the planned acquisition, Blue Shield will broaden total membership and provider networks and add Medicare members in Kern, San Luis Obispo, and Santa Barbara counties for the first time. The acquisition agreement also facilitates new patient-centered medical homes and accountable care organizations.
GEMCare members will experience minimal changes. All GEMCare Medicare business will remain with current contracts. Commercial members will retain coverage at current premiums until their next renewal date. GEMCare Health Plan employees will continue to provide services on behalf of the GEMCare Health Plan and will be employed through Managed Care Systems, a third party administrator, during the transition period. The agreement is subject to the approval of the California Department of Managed Health Care.
