UnitedHealthcare has upped its ownership stake in a Twin Cities business with a unique approach to structuring health insurance benefits.
The Minnetonka-based health insurance giant said it added to its majority ownership of Bind Benefits last year and — as of Thursday — is rebranding the business as Surest.
Financial terms were not disclosed.
Bind Benefits initially was designed as an option for self-insured employers — typically those with operations in multiple states willing to take on the financial risk for medical claims.
On Thursday, Surest said it is expanding the number of states, including Minnesota, where its health plans can be sold as a "fully insured" option for employers. That means companies pay the insurer to take financial risk for the cost of medical claims.
Surest health plans differ in their benefit structure by asking patients to pay a variety of copays when they receive different types of care, rather than meeting a deductible.
"UnitedHealthcare has always had a long relationship with Surest and served as one of the largest early investors, essentially at the launch, when it started in 2016," said Alison Richards, the chief executive at Surest.
Surest has been at the forefront of an emerging trend of alternative health plans that try to get enrollees engaged with making better decisions on where and how to access care, said Brooks Deibele, enterprise sales leader in Minneapolis for Holmes Murphy, a benefits consultant.