The Canada Life Assurance Co. is acquiring ClaimSecure Inc., a health-care management firm that provides health and dental claim management services.
The acquisition increases the number of plan members served by Canada Life by 1.25 million individuals, including plan members and their dependants, with annual claims payments of more than $1.2 billion, according to a press release.
“This transaction aligns with our priority of building lifetime customer relationships with the workplace plan members we serve,” said Jeff Macoun, the insurer’s president and chief operating officer for Canada, in the release.
The transaction also enhances Canada Life’s presence in the third-party administrator and third-party payor business segments. “Over the past two years, we’ve been strategically evolving our participation in the TPA and TPP business in Canada by creating a dedicated team,” said Brad Fedorchuk, executive vice-president of group customer at Canada Life. “Acquiring ClaimSecure is the next step in this evolution.
“ClaimSecure offers advanced technology, plan designs and approaches not previously employed by Canada Life. For both Canada Life and ClaimSecure, this acquisition provides new options to create innovative approaches in the TPA/TPP business.”
ClaimSecure’s main operations centre will remain in Sudbury, Ont. and its head office will remain in Mississauga, Ont.
The transaction is subject to customary closing conditions, including receipt of regulatory approvals, and is expected to close in the third quarter of 2021.