UnitedHealth, Humana To Increase Enrollment In Medicare Advantage Plans
Medicare Advantage Plans
UnitedHealth Group, the largest
The Bush administration has said that MA plans improve choice and benefits forMedicare beneficiaries, but some lawmakers maintain that the program benefitshealth insurers and have sought to reduce reimbursements for the plans. Manylarge health insurers are "reluctant to seek growth" in the Medicarebusiness, which is "subject to changes in federal payments andprocedures," but UnitedHealth and Humana "seem undeterred,"according to the Times.
UnitedHealth, which has 1.3 million members enrolled in MA plans, hopes toincrease enrollment through a plan marketed with AARP, andHumana, which has 1.1 million members enrolled in MA plans, hopes to increaseenrollment by at least 200,000 this year. Medicare business this year willaccount for about 15% of pretax earnings for UnitedHealth and for about 75% ofpretax earnings for Humana. In contrast, Medicare business this year willaccount for no more than 5% of earnings for WellPoint, Aetna and Cigna (
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