Self-funded division of FBMC sold to First Service Administrators

First Service Administrators, Inc. (FSAI), a leading risk manager for the health care industry and mid- to large-sized public and private employers, announced it has acquired the self-funded division of Fringe Benefits Management Company (FBMC).

FSAI will merge administration of all medical, dental and vision accounts into its current block of business. The acquisition extends its market reach beyond Florida to include Georgia, New Jersey, New York, Texas and Arizona.

FBMC, acting as a broker, will continue offering self-funded FSAI-administered medical benefits to its national clients.

"We're thrilled about this deal. It's more of a strategic partnership than an acquisition," said Chandler J. Rapson, CEO of FSAI. "This alliance will accelerate the growth of both companies. We're excited to leverage FSAI's proprietary technology platforms, exclusive cost containment solutions and economies of scale to manage risk and drive down health care costs for our new and existing clients. We're pleased to offer FBMC clients such value-added services as network development, predictive modeling and World Doc®. By allowing each company to focus on its core competencies, our clients will earn an even greater ROI of their health care dollars. It will also generate new revenue growth opportunities for both FSAI and FBMC."

"I am elated to join forces with FSAI and enhance the value proposition for those clients who wish to control their employee health care costs through self-funding," said Lorraine Strickland, CEO of FBMC. "Both companies are well-positioned for continued growth and are dedicated to maintaining strong operations in Ormond Beach, Fla. and the surrounding communities."