Pittsburgh-based health insurance giant Highmark announces venture with a new Blue plan

Pittsburgh-based health insurance giant Highmark Inc. this week unveiled its new collaboration with Blue Cross and Blue Shield of Kansas City (Blue KC), a move that company officials said will reinforce their commitment to employees and improve the health of generations of families.
Blue KC is the leading local not-for-profit health insurer in the Kansas City region and Highmark, a not-for-profit health insurer, is the nation’s fifth-largest Blue Cross and Blue Shield plan.
“What this means to central Pennsylvania is Highmark continues to be an innovator in terms of new products, solutions, services for the members, the people, communities that we serve, not just limited to central Pennsylvania, it’s all across the country,” said David Holmberg, CEO of Highmark Health.
“One of the things that’s very clear in the healthcare space is that there’s going to be an evolution that will require significant technology, data analytics and capabilities and tools that we can bring to consumers so that they can make better choices in managing their own healthcare.”
Highmark serves 7.1 million plan members in all 50 states. The company employs a workforce of about 3,500 in central Pennsylvania.
The company owns 20% of Penn State Health.
Highmark said it brings expertise in provider engagement, population health, technology and data analytics to the collaboration. Highmark will provide administrative capabilities, leading technologies and innovative tools to enhance Blue KC’s product offerings and operational efficiencies.
Highmark Health last year reported $209 million in operating losses.
Highmark reported $29.4 billion in revenue and $50 million in net income in 2024.
The company has laid off hundreds of workers.
Together, Blue KC and Highmark will serve nearly eight million members nationwide.
“As you think about the rapidly changing healthcare landscape and the headwinds and the challenges that especially small to mid-sized payers face, we’re really excited about the opportunity to partner and be able to access the capabilities that Highmark has,” said Aaron Billger, a corporate spokesman for Highmark.