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Health Plan sells workers’ comp divisions

WORK PROGRESSING — Work is progressing on construction of the Health Plan’s new headquarters in downtown Wheeling. The building is expected to be ready for occupancy by the end of this year. - Linda Comins

WHEELING — The Health Plan has sold its managed workers’ compensation program and workers’ compensation third-party administrator service lines to Paramount Health Care, officials said earlier this week.

The deal was being finalized, and the sale price was not disclosed.

Officials of the two firms were unavailable for comment on the number of employees affected by the sale or where those employees would be working after the acquisition was completed. Last week, a spokeswoman for the Health Plan said the transaction would not affect the overall number of workers in Wheeling.

The Health Plan is scheduled to move its work force later this year from a current site in St. Clairsville to new headquarters under construction in the 1100 blocks of Main and Market streets in downtown Wheeling. Approximately 70 employees of the insurer already are working in Wheeling, in leased space in the former Horne’s building, which is adjacent to the new office building.

Regarding the sale of the two service lines, Jim Pennington, president and CEO of the Health Plan, said, “When evaluated, we determined our workers’ comp divisions were not instrumental in our overall vision of growth across West Virginia and Ohio. During the past year, we searched for a strategic partner for our workers’ comp divisions that would allow our clients and employees to grow. We found that partner with Paramount.”

Pennington added, “The Health Plan continues to be a leader in West Virginia and Ohio with a strong focus on Medicare, Medicaid and employee benefits for fully insured large and small groups.”

Pennington could not be reached for further comment on the percentage of business that the two service lines represented for the company.

Jack Randolph, president of Paramount, said, “We are very pleased to be expanding our workers’ comp-focused business units and acquiring these business divisions.”

“Paramount continuously strives to exceed our customers’ needs and expand our offerings to serve more employer groups and members,” Randolph said.

Paramount Health Care is a health insurance company located in Maumee, Ohio. Established in 1988, it is the largest health maintenance organization in Northwest Ohio. It is a member of Toledo-based ProMedica, a mission-based, not-for-profit health care organization serving Northwest Ohio and Southeast Michigan.

Health Management Solutions, which is Paramount’s managed care organization for workers’ compensation, is Ohio’s fifth-largest such organization.

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