TPSC will retain its name and management team and operate as a wholly owned subsidiary of Clear Choice
Clear Choice Health Plans has acquired Trusteed Plans Service Corporation (TPSC), a third party administrator of employee benefits plans that operates in the six western states of Alaska, Washington, Oregon, Nevada, Idaho and Montana. Terms of the transaction were not disclosed.
Trusteed Plans Service Corporation will retain its name and management team and operate as a wholly owned subsidiary of Clear Choice.
According to Clear Choice, TPSC provides an opportunity for the company to enter a new market niche and augment its business with a new, self-funded, non-underwritten product that offers a revenue stream with outstanding potential.
Patricia Gibford, president and CEO of Clear Choice, said: The acquisition of TPSC fits well within our diversification goals by adding a book of business that is not underwritten. The transaction also will add approximately 55,000 new client lives to our existing 46,000-plus members and significantly enhance our geographic footprint in the west with a business that has strong local ties and a proven track record throughout the region.
Robert Ewan, president of TPSC, said: Being part of Clear Choice will provide significant added professional resources, particularly in the marketing arena. It also will allow both companies to tap into each other’s existing base of clients.