EBS has been enormously successful for more than twenty years – in fact, it is one of the most successful independent school health insurance groups in the country. That success has been built upon favorable pricing; outstanding service both to schools and individual policy holders; and exceptionally low overhead costs, reflecting the nonprofit nature of the EBS mission.
In 1967, AIMS business managers began a Blue Cross Blue Shield (BCBS) indemnity plan. Twenty-five schools, mostly in Baltimore, joined the plan.
Maryland Independent School Services (MISS), the organization known as EBS today, was established in 1988 to provide billing and administrative services to the plan.
In 1995, the legal corporate name was changed from MISS to Educators Benefit Services to more accurately reflect the evolving nature of the TPA. It is important to note that the primary medical insurance carrier issues the group insurance contract to EBS and not to individual schools'. This creates significant financial value to EBS as the value of any TPA is primarily the present value of the cash flows from the insurance contracts that it controls.
It was (and is now) recognized that enlarging the buying pool, including geographic expansion, is in the best interest of all participating schools. A larger buying pool not only carries greater leverage with insurance companies, but also takes advantage of a greater spread of risk and lower administrative costs, thereby lowering premiums of all participants. Further, EBS's value to schools is increased as it becomes a multi-line product provider meeting the needs of its clients. To fulfill this mission and relieve management functions from the EBS Board and the AIMS Executive Director, EBS hired its own Executive Director to bring full-time professional insurance management to its various current and future programs.