Aetna Inc. in Hartfors, Con. has agreed to buy a Phoenix-based company that manages health care for Medicaid plans and administers employers’ self-funded health plans.
The Hartford-based insurer announced Thursday that it will buy privately owned Schaller Anderson Inc. for about $535 million.
Schaller Anderson’s subsidiaries provide health plan administrative services in Arizona, California, Delaware, Maine, Maryland, Missouri, New Hampshire and Texas. Schaller Anderson operates HMO health plans in Delaware and Missouri.
Schaller Anderson also manages behavioral health services.
The deal will help Aetna reach uninsured and underinsured patients, a population important to Aetna, spokeswoman Cynthia Michener said Friday.
The company, founded in 1986 and employing about 1,800 workers, also provides consulting services to Tennessee’s Medicaid program.
The deal is expected to close in the third quarter. The combined Medicaid business of Aetna and Schaller will be based in Phoenix.
The transaction requires regulatory approval by federal antitrust officials and state regulators in Delaware and Missouri.