Mass. Gen. Laws ch. 32A § 4A
The commission when providing hospital, surgical, medical, dental and other health insurance coverage as authorized by this chapter may, in lieu of or in addition to entering into the insurance policies, agreements or contracts described in this chapter, enter into an administrative services or similar contract with an insurance carrier, non-profit hospital or medical service corporation, health maintenance organization, preferred provider organization, independent practice association or other third-party health care administrators. If deemed by the commission to be in the best interest of the commonwealth and its active and retired employees and their eligible dependents, the commission may enter into such service-type contracts for a period not to exceed five years.
Mass. Gen. Laws ch. 32A, § 4A