The $3.75 billion deal will turn Fidelis Care into Centene's New York subsidiary and will bolster Centene's already large Medicaid membership and ACA exchange business.
The deal with Centene Corp. in partnership with the Nevada-based Hometown Health will help ensure coverage is available to all Nevadans, after Anthem Blue Cross and Blue Shield pulled out of the state's healthcare exchange.
Centene posted strong second-quarter earnings growth Tuesday on a 10% increase in revenue and 7% rise in membership over the prior-year quarter. Growth was fueled by new exchange business.
The St. Louis-based insurer is one of a few health plans moving into markets that other insurers ditched because of financial losses and regulatory uncertainty over healthcare reform.
Health insurer Centene announced plans Tuesday to expand into more Affordable Care Act insurance exchanges for next year, at a time when competitors are either pulling back from those markets or proposing steep price hikes to remain.
Centene Corp. on Tuesday reported strong revenue in the first quarter as it continues to be an outlier among big insurers by committing to stick with the Affordable Care Act insurance exchanges.
Many big health insurers are fretting over losses and questioning their future involvement in the Affordable Care Act insurance exchanges, but Centene Corp. is profiting from its marketplace plans and the Medicaid expansion.
While Medicare Advantage plans added nearly 900,000 members in 2016, enrollment is growing at a slower pace. Still, experts say the future of Medicare Advantage will be lucrative for insurers.
Tenet Healthcare Corp. has locked up new multiyear contracts with insurance giants UnitedHealthcare and Centene Corp., cementing pricing for the hospital system and uninterrupted service for the insurer's members.
Major changes in the exchange-based individual market will spill over to Americans with practically any type of health coverage—Medicare, Medicaid or employer-based plans.
Centene Corp. and Kentucky are ending their long-standing legal spat over the insurer's early termination of its Medicaid managed-care contract.
The Pennsylvania Department of Human Services awarded a massive Medicaid bid last week to AmeriHealth Caritas, Centene Corp. and UPMC after delaying the decision for several months.