Anthem's government business fueled the bulk of its enrollment growth in 2020 as commercial enrollment was stagnant. Overall, Anthem's government business experienced a growth of nearly 17% year over year from 2019 to 2020, while the commercial and specialty unit increased just 0.2%. As part of this latest deal, Anthem is poised to add more than 572,000 government members, a significant one-time pickup. Anthem is set to gain more than 267,000 MA members in the MMM plan, which is the ninth-largest MA plan in the country, according to Anthem, which ended 2020 with 1.4 million MA members, a nearly 18% increase from 2019. Its Medicaid book of business will add more than 305,000 members through the deal, which needs approval from various regulators including the Commonwealth of Puerto Rico. Anthem's Medicaid business pegged enrollment at nearly 9 million at the end of 2020, about a 22% increase from its 2019 Medicaid enrollment. 2021 EPS guidance will not change as a result of the acquisition, Anthem said. Anthem cut its outlook for 2021 as it experienced a rebound in care in the fourth quarter, which weighed heavily on its quarterly profit. Although some insurers reported large profits during periods of 2020 as members deferred care due to the pandemic, companies have warned the trend will ultimately swing in the opposite direction when patients return for care they put off. Insurers expect some members may even be sicker as diagnoses went undetected. Anthem is acquiring the units from InnovaCare and its equity investor Summit Partners, which has invested in a slew of healthcare companies, including U.S. Renal Care, a dialysis operator and MD VIP, a concierge physician practice. Sources: https://www.modernhealthcare.com/insurance/anthem-picks-up-medicaid-plans-puerto-ric ![]() |
Medicare Blog | Medicare News | Medicare Information
Anthem to acquire largest Medicare Advantage plan in Puerto Rico
Posted by www.psmbrokerage.com Admin on Wed, Feb 03, 2021 @ 03:03 PM
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Tags: Medicare Advantage, Anthem
Anthem's Medicare Advantage membership up 18% in 2020
Posted by www.psmbrokerage.com Admin on Wed, Jan 27, 2021 @ 03:55 PM
At Anthem, for instance, enrollment in MA was up nearly 18% at the end of 2020 compared to the year before, reaching 1.4 million members. Total Medicare enrollment, including both MA and supplement plans, was also up more than 11% at the end of 2020, Anthem told investors on Wednesday, reaching 2.4 million. "We're pleased with our continued growth in this important segment for Anthem," CEO Gail Boudreaux said on the insurer's earnings call. Chief Financial Officer John Gallina told investors that Anthem is also "projecting double digital growth at the midpoint" of 2021 for Medicare Advantage, and that the company expects "continued, measured growth" over the course of the year in MA. Boudreaux added that the insurer's Essential Extras offering in Medicare Advantage drew significant interest in 2020, with a 300% increase in members selecting a benefit through the program. In eligible plans, members have the option of choosing coverage for a number of services depending on their needs or desires, ranging from transportation to a health and fitness tracker to assistance from a personal home helper. Anthem's Q4 earnings miss Wall Street estimations Anthem reported $551 million in profit for the fourth quarter of 2020, falling short of Wall Street analysts' predictions. That marks a 41% drop in profit compared to the fourth quarter of 2019, when Anthem brought in $943 million in profit, according to the company's earnings report released Wednesday morning. Anthem earned $4.6 billion for full-year 2020, a slight dip compared to earnings of $4.8 billion in 2019, the company said. Many insurers warned that their fourth-quarter financials may be less than stellar as healthcare utilization returns to near-normal levels and costs related to COVID-19 mount. Anthem CEO Gail Boudreaux said in a statement that despite the challenge of the pandemic, the company performed strongly over the course of the year. “Despite uncertainties with the pandemic, Anthem delivered strong growth across all of our businesses in 2020 reflecting the diversity and strength of our portfolio and our unwavering commitment to those we serve,” said Boudreaux. “I am proud of all that we accomplished during this challenging time, and we remain focused on supporting our members, customers and communities as a trusted health partner.” Anthem reported $31.8 billion in revenue for the quarter, which did surpass analysts' expectations. That figure represents a 16% increase in revenue compared to the fourth quarter of 2019 when the insurer brought in $27.4 billion. Total revenue for 2020 was $121.9 billion, an increase of 17% compared to 2019's $104.2 billion in revenue, Anthem said. Anthem also added 1.9 million members over the course of 2020, bringing its total membership to 42.9 million as of Dec. 31. For 2021, Anthem expects earnings in excess of $24.50 per share and operating revenues of approximately $135.1 billion. Source: https://www.fiercehealthcare.com/payer/anthem-misses-wall-street-predictions-551m-q4-profits ![]() |
Tags: Medicare Advantage, Anthem
We are pleased to launch Anthem’s Medicare products to our Agents
Posted by www.psmbrokerage.com Admin on Wed, Sep 09, 2020 @ 11:35 AM
We are pleased to launch Anthem’s Medicare products to our Agents
PSM is proud to offer the Anthem brand to our dedicated agents. We know it will have a positive impact on your business and relationship with your clients. Anthem offers a full array of Medicare products including Medicare Supplement plans, Medicare Advantage plans and Medicare Part D Drug Plans. Make sure to have Anthem in your portfolio for the 2021 AEP. Request details today or call us at 800-998-7715 for more information. ![]() |
Tags: Medicare Advantage, Medicare, Medicare Supplement, Medicare Part D, Anthem, BCBS
Cigna faces off with Anthem, escalating fight by ending deal
Posted by www.psmbrokerage.com Admin on Wed, Feb 15, 2017 @ 05:08 PM
(Bloomberg) — Simmering tensions between Anthem Inc. and Cigna Corp. exploded Tuesday as Cigna sued to end their $48 billion deal, and Anthem moments later said it would fight to keep the merger alive. The clash came just hours after the other U.S. health insurance megadeal, a $37 billion tie-up between Aetna Inc. and Humana Inc., ended peacefully with the companies mutually deciding to walk away from their agreement. Related: Judge blocks Anthem-Cigna merger Cigna, as part of its lawsuit against Anthem, is seeking a $1.85 billion breakup fee, plus $13 billion in additional damages it says are owed after “the path for regulatory approval of the transaction was fatally compromised” by the larger insurer. Anthem called the move “invalid” and said it had already extended the time the two companies will have to complete the takeover to April 30. The merger was blocked by a federal judge last week, though Anthem has said it would seek an expedited appeal of the ruling. The fact that the two tie-ups were called off on Valentine’s Day wasn’t lost on analysts. “Valentine’s Day is turning out to be the day of broken mergers,” Evercore ISI analyst Michael Newshel wrote in a note to investors titled “breaking up is hard to do.” A settlement between Anthem and Cigna is still “the most likely (and best) outcome,” said the analyst, who recommends holding Cigna stock. “Ultimately we view the latest developments as posturing in what comes down to a legal fight over the breakup fee.” Related: Aetna and Humana break up ‘Contentiousness’ Tensions between Cigna and Indianapolis-based Anthem have been evident since before the Justice Department sued in July to stop the merger, which the government said would reduce competition and reduce choice for consumers. At a court hearing in August, an Anthem lawyer said there was “ contentiousness” with Cigna and that the smaller insurer intended to walk away after the deadline rather than extend the effort. In her ruling last week rejecting the tie-up, U.S. District Judge Amy Berman Jackson cited the discord between the insurers as “the elephant in the courtroom.” Cigna didn’t join in Anthem’s appeals court filing The bad rapport between the insurers stems from even before the deal was struck in July 2015. Cigna had rejected Anthem’s initial overtures, in part over a dispute about what role Cigna Chief Executive Officer David Cordani would have at a combined firm. Cigna, based in Bloomfield, Connecticut, rose 0.6 percent to $146.68 at the close in New York. Anthem’s shares declined 0.1 percent to $163.32. The end of the Aetna-Humana transaction — and potentially the Cigna-Anthem merger down the road — leaves some of the U.S.’s biggest insurers free to make new deals or spend billions on buying back their own shares. The case is Cigna Corp. v. Anthem Inc., 2017-0109, Delaware Chancery Court (Wilmington). Source: http://www.lifehealthpro.com/2017/02/15/cigna-faces-off-with-anthem-escalating-fight-by-en |
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Anthem, Aetna sued by U.S. seeking to block insurer mergers
Posted by www.psmbrokerage.com Admin on Fri, Jul 22, 2016 @ 09:25 AM
The Justice Department filed an antitrust lawsuit to stop Indianapolis-based Anthem’s merger with Bloomfield, Connecticut-based Cigna Corp. in federal court in Washington on Thursday and also moved to block Hartford-based Aetna’s planned merger with Louisville, Kentucky-based Humana. Eight states including Florida and Illinois, plus the District of Columbia, are joining the federal government’s suit to block the Aetna-Humana deal. Nine states and the District of Columbia joined the U.S. action against the Anthem-Cigna deal, including California, New York and Connecticut. "If permitted to proceed, Anthem’s purchase of Cigna likely would lead to higher prices and reduced benefits," the Justice Department said in the complaint, which was filed in federal court in Washington Thursday. Anthem, in a statement, said it was fully committed to challenging the DOJ action in court but would remain receptive to efforts to reach a settlement with the Justice Department. The U.S. action is “an unfortunate and misguided step backwards for access to affordable healthcare for America,” Anthem said. “The DOJ’s action is based on a flawed analysis and misunderstanding of the dynamic, competitive and highly regulated healthcare landscape and is inconsistent with the way that the DOJ has reviewed past healthcare transactions. ” Cigna said it was “evaluating its options consistent with its obligations under the agreement” and said it doesn’t expect the transaction will close in 2016. “The earliest it could close is 2017, if at all.” The actions are likely to set off a round of court battles as the insurers are obliged to fight the moves and could spark renewed pursuit of smaller players in the industry if the deals fail. The cases are U.S. v. Anthem Inc., 16-cv-1493, U.S. District Court, District of Columbia (Washington) and U.S. v. Aetna Inc. 16-cv-1494, U.S. District Court, District of Columbia (Washington). |
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Tags: Humana, Cigna, Medicare Advantage, Medicare Supplement, aetna, Anthem, DOJ