A bag carrying mechanism for a bag and insert combining apparatus for combining a stream of inserts with a stream of bags is provided. The bag carrying mechanism includes a plurality of bag holding arrangements operably coupled to one another for rotation about a rotational axis. Each bag holding arrangement includes first and second segments movable relative to one another and forming a receiving cavity therebetween. First and second holding features hold opposite sides of the bag within the receiving cavity and selectively hold the bag in an open position for receipt of an insert through an open end of the bag. Methods of using the bag carrying mechanism and systems incorporating the bag carrying mechanism are provided.