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The basics:

• Horizon launches HealthEZ, full-service third-party administrator for self-funded health plans
• Targets mid- to large-sized employers (50–2,000 workers) with 2027 effective dates
• Combines Horizon’s provider network with customizable benefits, cost control tools
• Expansion diversifies Horizon’s business as TPA market growth accelerates

Horizon Blue Cross Blue Shield is rolling out a full-service third-party administrator that aims to make HealthEZ for self-funded health care plans.

The move leverages Horizon’s position as the largest health insurance provider in the state. The new TPA product is designed to provide employers flexibility to customize benefits, backed by Horizon’s extensive network. It also offers a new way to diversify its business, but broker buy-in and execution are key.

For employers, the HealthEZ TPA offers a way to craft quality plans while retaining responsibility, without assuming it all. 

HealthEZ will serve mid-sized to large private and public sector employers (50 – 2,000 employees). It launches this summer for Jan. 1, 2027, effective dates. 

Horizon acquired Minnesota-based HealthEZ in 2025, following its transition to a mutual holding coming in fall 2022. At the time, Horizon said the move would help it adapt to and serve a changing health care system, as well as customer demands.

The company declined to disclose financial details of the TPA transaction. In business for more than 40 years, the launch marks the target’s first foray actively marketing a product in New Jersey.  

“It’s a big investment. It’s been a big investment of Horizon and HealthEZ,” Jeff Bakke, CEO of HealthEZ, told NJBIZ ahead of the debut. “We did a lot of work – have done … and are doing a lot of testing and preparation, operational readiness, in order to make sure that customers have a terrific experience with this kind of one, two punch here.”

Growing demand

Horizon says the HealthEZ rollout helps fill a gap in the market and expands its customer base. The TPA market is expected to grow to $404.27 billion in 2026. The compound annual growth rate of 8.7%, notably, reflects employer-sponsored plans and a rise in claims processing volume, according to Research and Markets.

“We’ve identified over 400,000 different members across hundreds of employers, if not thousands of employer groups, that leverage TPA models here in the state of New Jersey, and most of them over the course of time have pursued Horizon for some kind of TPA type model,” Jared Ferguson, vice president, Consumer, Small Group and Midsize Markets, Horizon BCBSNJ, explained. “And so we look at this as bringing another solution … that it’s been asking for [for] some time.” 

[W]e look at this as bringing another solution … that it’s been asking for [for] some time.”
—Jared Ferguson, vice president, Horizon BCBSNJ

Bakke says the offering pairs the capabilities of a large health plan with the flexibility of a TPA.  

“And I think for the first time in New Jersey, you’re going to get the best of both,” he explained. “Meaning, you get … large presence provider discounts and access … and still be able to manage … the benefit set that they have and continue to optimize and modify the way that the benefits are being offered through HealthEZ.”

User-friendly

Horizon’s well-known brand platform, and access, can benefit employees.

“Providers know the network—that takes a lot of the friction out,” Bakke said. “So you start with a good economic beginning with those discount methods.” 

According to KFF, 67% of covered workers are enrolled in self-funded plans. 

The thinktank’s 2025 Employer Health Benefits Survey noted average annual premiums were up by 5% and 6%, respectively, for single and family coverage. Over the last five years, average family premiums have increased 26%, KFF said. 

And so far, it looks like 2026 will only compound the trend. “Early reports suggest that cost trends will be higher for 2026, potentially leading to higher premium increases unless employers and plans find ways to offset higher costs through changes to benefits, cost sharing, or plan design,” KFF wrote.

“Over time, we’re universally successful in lowering costs for the employer,” Bakke said. Data-backed HealthEZ earns high remarks for its human-based service, too; along with offering exclusive access to the Horizon network and its products. 

According to Bakke, the TPA focuses its work around three main pillars. “One is on the experience, and we have a great implementation and dedicated account managers. We have a dedicated website and dedicated phone lines for their employees. Things that I think help the employer feel like it’s their health plan, even though they don’t have to build all that stuff.” 

Managing plans, cash flow

Alleviating the burden of administration and communication required of benefits administration offers an assist for employers. 

“The second one is this cost containment methodology,” Bakke continued. A lot of employers launch a plan and hope for the best. HealthEZ offers products, services and integrated solutions to proactively monitor and manage costs to help avoid spending surprises. 

Last, but not least, Bakke said HealthEZ can help employers manage cash flow. “So, if you have a million-dollar medical claim, for most employers with a hundred employees, this is a really big deal,” he explained. 

Horizon Stop Loss insurance products and other funding solutions from HealthEZ can help bring predictability to employers working in partnership with their broker, and help protect against catastrophic claims. 

Our best partners and clients over the last 15, 20 years, have been the ones that take an active sort of role in trying to provide more benefits and lower costs—not just cost shift to the employee.
—Jeff Bakke, CEO, HealthEZ

Ferguson highlighted that point on partnership. “The perfect type of employer has attributes, none of which are necessarily tied to their business and what they do. But really about how they run their businesses,” he said. 

By taking an interest, and evaluating cost drivers regularly, these employers are able to optimize solutions. 

“Our best partners and clients over the last 15, 20 years, have been the ones that take an active sort of role in trying to provide more benefits and lower costs—not just cost shift to the employee,” added Bakke. 

Just for Jersey

He called the HealthEZ rollout “quite special, quite differentiated and very unique to the New Jersey market; and specific to the New Jersey market.” 

“HealthEZ, from Horizon’s perspective provides the best balance for … the network assets that it brings to play, along with the needs of New Jersey constituents, in terms of administrative capabilities, market competitive tools, member and customer-focused philosophies,” added Ferguson. 

From a broker perspective, Horizon said the feedback has been positive. The organization will introduce HealthEZ at the National Association of Benefits and Insurance Professionals of new Jersey (NABI-NJ) Annual Conference May 4 in Atlantic City. 

Either way, Horizon and HealthEZ are all in.

“If I leave you with any one thing, I would just say that any folks who are interested in more information about this arrangement, interested in hearing more about it or going through a quoting process, they should reach out to any Horizon account management sales executive personnel that they have. They should communicate with their brokers and consultants about this. And we’ll be more than happy to have those individual one-on-one conversations at their convenience.”