The only way to delete the duplicate names and address is to do a search with all the patients who have the insurance company. You must go to each one and change it to the correct one on your drop down. Only when you get to the original entry and everyone is fixed will it go away.
This is also the method you use when there is a misspelling in a patients city. Its very cumbersome and takes time. Its the fix we were told about during the first AC conference.