06/25/2002

Los Angeles-Based HMO Announces Plans to Withdraw from CalPERS in 2003

Officials from Universal Care, a Los Angeles-based HMO, announced that the company will withdraw from CalPERS, effective January 1, the San Diego Union-Tribune reports (Fong, San Diego Union-Tribune, 6/25). The move will affect more than 345,000 CalPERS members in Southern California covered by Universal Care.

Universal Care plans to shift the 350,000 members covered by the two health insurers to Blue Shield of California.

In 2003, CalPERS will offer members three HMO options through Blue Shield, Kaiser Permanente and Western Health, although officials from Western Health have said that the company also may withdraw from the health system next year (San Diego Union-Tribune, 6/25).