Capital Blue Cross acquires Vibra Health Plan

Jan. 25--HARRISBURG -- Brad Hollinger and Michael Fiaschetti founded Vibra Health Plan in 2016, and began signing up Medicare Advantage customers in the Lehigh Valley and elsewhere in Pennsylvania beginning in October.

Competitor Capital Blue Cross announced Wednesday, just three months later, that it has agreed to acquire a controlling interest in the company. Capital Blue Cross did not disclose the size of its share of Vibra and the price it has agreed to pay.

While Capital Blue Cross offers a wide variety of health insurance, including Medicare Advantage plans, Vibra Health Plan is focused only on Medicare patients, offering its customers a choice of two preferred provider organization, or PPO, plans.

"In just a short period of time, Vibra Health Plan has established itself as a strong and innovative company focusing on delivering excellence to Medicare customers," said Gary D. St. Hilaire, president and CEO of Capital Blue Cross. "We are thrilled to bring them into the Capital Blue Cross family of companies, increasing our offerings to an expanding market and furthering our geographical reach."

Vibra Health Plan will keep its name under its new ownership, but members will be part of "a larger set of diversified companies," according to Capital Blue Cross. Hollinger is also president and CEO of Vibra Healthcare, which operates long-term care and acute care rehabilitation centers in 18 states.

Vibra Health Plan serves members in 17 counties in the central Pennsylvania, Lehigh Valley, and Scranton-Wilkes-Barre regions. It will continue to operate as a separate company. Capital Blue Cross will continue offering Medicare Advantage products within its 21-county Pennsylvania service area.

The deal is subject to approval by the Pennsylvania Insurance Department. Vibra is based in Mechanicsburg, Cumberland County.

scott.kraus@mcall.com

610-820-6745

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