New Partnership for North Dakota Blue Cross Blue Shield
FARGO – North Dakota Blue Cross Blue Shield has announced a new partnership with a nonprofit health company from the Pacific Northwest. This collaboration aims to deliver “more value and more solutions” to their members, according to Dan Conrad, president and CEO of BCBSND.
Conrad mentioned that this “strategic affiliation” is being developed with Cambia Health Solutions, based in Portland, Oregon. Employees were informed about this development on Thursday, August 21st.
Importantly, he emphasized that these strategic affiliations do not qualify as mergers or acquisitions. He stated, “A lot of what’s done is still going to be local. That’s going to be done by just a team that’s combined.” Ryan Bembo, BCBSND’s Senior Vice President and Chief Marketing Officer, noted that Cambia currently provides management and shared services to health plans across Oregon, Washington, Idaho, and Utah.
This partnership marks BCBSND as the fifth organization to join this group of “blues” plans, as described by Bembo.
Conrad expressed optimism about discovering the efficiencies this affiliation could bring, acknowledging, “We’re not talking about layoffs as part of this.” BCBSND currently employs about 900 people, with a significant number located in Fargo, West Fargo, and Moorhead. Cambia, on the other hand, employs around 4,600.
If regulators approve the affiliation, policyholders should not expect major disruptions. Conrad ensured that they will retain their current healthcare scope and continue using their BCBSND insurance cards as usual. The Medicare Advantage program will still be available through NextBlue in North Dakota.
BCBSND will maintain its local plan names, boards, and charity foundations, governed by voting policyholders rather than investors. “We’ve got all our assets and reserves here, but we’ll combine our teams to create more efficient operations for all of the Cambia family’s plans,” he added.
While BCBSND leads in North Dakota’s market share, it’s one of the smallest health insurance providers nationally, especially when compared to Cambia. Established in 1940, BCBSND serves over 380,000 members, while Cambia, founded in 1995, caters to more than 3.6 million.
Employees from BCBSND will transition to become Cambia employees, managing and operating North Dakota companies in various capacities. However, Conrad reassured that BCBSND will still maintain a robust presence in North Dakota, including its Fargo headquarters.
Jared Short, president and CEO of Cambia, remarked that the two companies are well-matched in terms of employee teams. He noted, “BCBSND’s culture and vision are perfectly suited to working together to innovate and transform the healthcare of the communities we serve.” This strategic alliance originated internally with BCBSND’s board about three years ago, with direct negotiations taking place over the past year.
Conrad pointed out the challenges of the healthcare industry, which he described as having been “unstable” for some time. He highlighted that investments, particularly in technology, can be daunting for smaller entities. Although BCBSND remains “financially healthy,” he is keen on ensuring this continues.
He asserted, “We didn’t have to find ourselves in a position of financial weakness. It’s crucial to make decisions that are most meaningful to our members.” The structure and role of the management team in this new arrangement will be determined later. BCBSND will secure representation within Cambia’s Leadership Team, and Short will continue as president and CEO of Cambia.
Conrad will complete his current contract and transition into the role of Cambia Chief Management Officer, overseeing legal, government affairs, and human resources while working in Fargo. The BCBSND Board of Directors will be on the lookout for a president to lead the North Dakota market.
This strategic affiliation is pending regulatory approval from North Dakota Insurance Commissioner Jon Godfread, with the conclusion anticipated in 2026.
