Jim Pennington, President of HealthSmart, said, “This acquisition fuels our growth strategy, especially in our Eastern Region. In addition, it will allow us to diversify our product and service offerings."
Dallas, Texas (PRWEB) March 14, 2013
HealthSmart Holdings Inc., announced today that it has entered into a definitive agreement to acquire the operating assets and related liabilities of Wells Fargo Disability Management (WFDM), a division of Wells Fargo Insurance Services and a part of Wells Fargo & Company (NYSE: WFC). The terms of the transaction, which is expected to be completed by May 1, 2013, were not disclosed.
As part of the transaction, HealthSmart will hire approximately 160 team members from Wells Fargo Disability Management and maintain offices in the existing six locations, including Florida, Virginia, Pennsylvania and Ohio. Following the acquisition, HealthSmart will have annual net revenues of more than $180 million and more than 1,300 employees.
Wells Fargo Insurance Services will continue to provide medical and disability management third-party administration (TPA) solutions, as well as general liability and auto liability services to a national customer base, using HealthSmart’s broad network and capabilities.
“Wells Fargo Disability Management has been an integral part of our ability to provide quality casualty administrative services,” said Anne Doss, executive vice president and head of Personal and Small Business Insurance, said. “By combining the WFDM team’s strengths and talents with HealthSmart’s assets developed over more than 40 years, our customers will have greater access to the medical and disability solutions they need.”
“During the past 15 months, HealthSmart has acquired five other third party administrators,” said Daniel D. Crowley, Chairman of HealthSmart. “We are very focused on creating economies of scale that allow us to provide our clients with high quality solutions at the best possible value. Our size, geographic coverage and high quality integrated managed care offerings make it possible for HealthSmart to meet the health benefit needs of self-funded employer groups of all sizes.”
Jim Pennington, President of HealthSmart, said, “This acquisition fuels our growth strategy, especially in our Eastern Region. In addition, it will allow us to diversify our product and service offerings. Both HealthSmart and Wells Fargo Disability Management have customer-centric cultures and strive for excellence on a daily basis. We welcome the employees and the clients of WFDM to HealthSmart.”
On December 31, 2011 HealthSmart completed its acquisition of Wells Fargo Third Party Administrators, Inc., the medical third-party administration business of Wells Fargo Insurance.
For more than 40 years, HealthSmart has offered a wide array of customizable and scalable healthcare administrative solutions. It specializes in self-funded insurance solutions and comprehensive wellness programs for employers through its broker distribution network. The company's headquarters is in Irving, Texas, with regional hubs throughout the country. HealthSmart’s mission is to improve member health and reduce healthcare costs.
About Well Fargo
Wells Fargo Insurance1 is the fifth largest insurance broker in the world (Business Insurance, 2012). With 127 offices in 37 states, Wells Fargo Insurance provides solutions for a wide range of customers, including retail consumers, high net worth individuals, small businesses, as well as middle market and large corporate customers. The 7,000 insurance professionals of Wells Fargo Insurance write or place $15 billion of risk premiums annually in property, casualty, benefits, international, personal lines, and life products and also includes the nation’s largest crop insurance provider, Rural Community Insurance Services (RCIS).
Wells Fargo & Company (NYSE: WFC) is a nationwide, diversified, community-based financial services company with $1.4 trillion in assets. Founded in 1852 and headquartered in San Francisco, Wells Fargo provides banking, insurance, investments, mortgage, and consumer and commercial finance through more than 9,000 stores, 12,000 ATMs, the Internet (wellsfargo.com), and has offices in more than 35 countries to support the bank’s customers who conduct business in the global economy. With more than 265,000 team members, Wells Fargo serves one in three households in the United States. Wells Fargo & Company was ranked No. 26 on Fortune’s 2012 rankings of America’s largest corporations. Wells Fargo’s vision is to satisfy all our customers’ financial needs and help them succeed financially.
Ranking includes Wells Fargo Insurance Services USA, Inc., Wells Fargo Insurance Services of West Virginia, Inc., Wells Fargo Insurance, Inc., and Rural Community Insurance Company