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Michigan-Based Health System Buying Indiana Insurer

McLaren Health Care currently operates in Michigan. Indiana will be the group's first out-of-state operation.

Photo: McLaren Health Care (Facebook)

McLaren Health Care currently operates in Michigan. Indiana will be the group's first out-of-state operation.

A Michigan-based health system is buying a nonprofit insurer that currently serves more than 360,000 Indiana residents who are on Medicaid.

Grand Blanc-based McLaren Health Care announced Thursday that it’s signed a definitive agreement to acquire MDwise, a health maintenance organization that generates more than $1.5 billion in annual revenue. Terms weren’t disclosed. The deal is subject to state and federal regulatory review.

MDwise will become part of McLaren Health Care, which owns and operates 12 hospitals and McLaren Health Plan, a Michigan HMO that provides health care benefits to more than 260,000 commercial, Medicaid and Medicare beneficiaries in Michigan.

It marks McLaren’s first move into a state outside of Michigan. McLaren plans to maintain MDwise’s Indiana operations, which currently include the Hoosier Healthwise and Healthy Indiana Plan.

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