US-based Tufts Health Plan has entered into an agreement with Granite Healthcare Network to create a new health insurance company, Tufts Health Freedom Plan.

Based in New Hampshire, the new insurance firm will offer cost-effective health care coverage to residents of the state.

Tufts Health Plan president and COO Thomas Croswell said: "Tufts Health Freedom Plan was created to meet the needs of the residents of New Hampshire – to provide superior care management along with innovative health insurance products, all with the commitment to stabilize health care costs for our members and the business community."

Granite Healthcare Network executive director Rachel Rowe said: "Granite Healthcare Network is extremely proud to partner with Tufts Health Plan to create an innovative insurance company focused on accessible and comprehensive person-centered care."

The new insurance company will provide an array of health plans for employers and their employees in New Hampshire.

Tufts Health Freedom Plan will also partner with other providers in the state to offer an affordable health insurance.

Healthcare executive Brian Wells, who served as CEO of Memorial Hermann Health Solutions (MHHS), will be the president of the new health insurance company.