One decade after WellPoint Health Networks and Anthem merged into the nation’s largest for-profit, publicly-traded Blue Cross company, the insurer is changing its corporate name to Anthem, Inc.
WellPoint is the parent of Blue Cross-licensed plans in 14 states. The move, said Joseph Swedish, the insurer’s president and CEO, is about maximizing the Anthem brand to connect with customers. “Brand is a significant driver of consumer purchasing decisions across our businesses. As we move closer to a consumer-centric marketplace, we believe Anthem is the best brand to lead our company forward to becoming a more consumer capable company,” said Swedish in a press release announcing the name change.
Most of WellPoint’s 37 million members know the company through their Anthem Blue Cross plans. But as more consumers buy their own individual plans in public exchanges, where a great many Anthem plans are for sale, insurers can expect them to be doing more research before making a decision.
While the average consumer may not be interested in learning about detailed corporate ownership structures, some could get confused when a search for one name shows results for a differently-named parent company. One name simplifies the brand across channels, particularly on the Internet.
“As consumer engagement is heightened,” Swedish said, “we recognize that brand – an indicator of trust and a predictor of willingness to engage – is going to be of increasing importance.”
The name change is expected to be completed sometime later this year, pending shareholder approval at a meeting in Indianapolis, Ind. in November.