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Article: Bay State HMO ailing; bailout plan reported set
- Article from:
- The Boston Globe (Boston, MA)
- Article date:
- June 2, 1992
- Author:
CopyrightCopyright 1992 The Boston Globe. Provided by ProQuest LLC. (Hide copyright information)
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Troubled Bay State Health Care is about to be bailed out in a deal
that would effectively merge the state's second-largest health
maintenance organization with a stronger company, say people who are
participating in the talks.
When the agreement is announced, possibly this week, Bay State is
also expected to reveal that it is in far worse financial shape than
previously reported.
The pending deal, according to sources, is basically a shotgun
marriage arranged by the state's Division of Insurance, which was
worried that Bay State would not be able to turn itself around on its
own. The goal of both the company and the state has been to strike a
deal that would protect Bay State's 380,000 ...