A number of health insurers nationwide are merging or considering merging, including companies doing business here in Washington State. The Office of the Insurance Commissioner (OIC) is closely monitoring these consolidations to ensure that the financial condition of the companies is sound and consumers are protected.
CVS acquisition and merger of Aetna
CVS Health Corp (CVS) filed an application for the acquisition and merger of Aetna Inc (Aetna) received on January 17, 2018. Aetna Inc is the ultimate controlling person of Aetna Better Health of Washington Inc. located in Seattle, WA. Aetna Better Health of Washington Inc. was recently formed as a Washington domestic health care service contractor during October 2017.
We established our review process under a case management order to determine the fairness of the transaction and hear any objections to this proposed acquisition. No one registered to participate as an intervenor in this adjudicative proceeding.
Under the Notice of Hearing #18-0029 dated May 16, 2018, the commissioner held a public hearing on July 12, 2018. The Commissioner signed an order approving the acquisition on October 4, 2018. The approval order and documents can be found in the Administrative Hearings website under Aetna Better Health CVS - Docket No 18-0089
CIGNA acquisition of Express Scripts
CIGNA announced its proposed acquisition of Express Scripts on March 8, 2018. We received a request for exemption regarding the proposed acquisition because Washington does not have a domestic insurer related to Express Scripts. After review of the proposed acquisition, we concluded that we were not required to hold a hearing in Washington under state law.