WellPoint's recently completed purchase of Amerigroup will boost the amount of government business it captures, BMO Capital said in a report Thursday.
The Indianapolis insurer said Monday it completed a $4.46 billion deal it first announced in July to buy Amerigroup Corp., which runs Medicaid coverage in several states. Medicaid is the state and federally funded program that provides health coverage to poor and disabled people.
States are starting to move residents who qualify for both Medicaid and Medicare, the federally-funded program for people over age 65 and the disabled, into managed care programs that coordinate their care. These so-called "dual eligible" patients generally have chronic or expensive medical conditions, but analysts and insurers see the population as a potentially lucrative business for insurers.
In 2014, more people also will become eligible for Medicaid as part of coverage expansions under the health care overhaul.
Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.
Your access to unlimited BenefitsPRO content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Critical BenefitsPRO information including cutting edge post-reform success strategies, access to educational webcasts and videos, resources from industry leaders, and informative Newsletters.
- Exclusive discounts on ALM, BenefitsPRO magazine and BenefitsPRO.com events
- Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com
Already have an account? Sign In
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
