Oxford Health Plans
| Company type | Division |
|---|---|
| Industry | Healthcare |
| Founded | 1984 |
| Founder | Stephen Wiggins |
| Fate | Merged with UnitedHealth Group in 2004 |
| Successor | UnitedHealth Group (division) |
| Headquarters | United States |
Area served | New York, New Jersey, Connecticut |
Key people | Norman C. Payson (CEO 1998), William Sullivan (CEO after Payson) |
| Products | Health insurance plans including Freedom Plan and Liberty Plan |
| Owner | UnitedHealth Group |
| Parent | UnitedHealth Group |
Oxford Health Plans is a U.S.-based healthcare provider delivering a range of benefit packages mainly across New York, New Jersey, and Connecticut. Since 2004, it has functioned as a division of UnitedHealth Group, recognized as the largest healthcare organization worldwide. Oxford was a pioneer in enabling patients to consult specialists without requiring referrals and incorporating alternative medicine options within its coverage.
Overview
The membership cards issued by Oxford Health Plans displayed various plan choices such as the Freedom Plan and the Liberty Plan. The Wall Street Journal characterized its HMO offering as "innovative," highlighting that Oxford allowed members to access specialists outside their network for an extra fee.
History
Established in 1984 by Stephen Wiggins, Oxford initially focused on attracting affluent physicians and consumers, expanding its membership from 217,000 to nearly two million during the 1990s. Leadership transitioned in 1998 when Norman C. Payson succeeded Wiggins as CEO, with William Sullivan taking over subsequently.
In the late 1990s, Oxford encountered scrutiny over management practices; the Wall Street Journal referred to its operations as "Ill-Managed Care." In 1997, the company incurred a $3 million penalty due to legal infractions involving inaccurate profit reporting and the double counting of premiums. Previous criticisms included restrictions on reimbursements for hospital stays following childbirth.
The 2004 merger with UnitedHealth Group strengthened UnitedHealth’s foothold in the Northeastern United States market.