Humana exiting Medicare Advantage in 13 markets
Humana reaffirmed its full-year guidance but is leaving 13 Medicare Advantage markets next year, Chief Financial Officer Susan Diamond said during the Wells Fargo Healthcare Conference on Wednesday. Other members will have fewer plans to choose from in certain geographies. Diamond explained around 560,000 members, or 10% of its individual MA membership base, would be impacted by the cutbacks, but Humana anticipates it will absorb about half of those members into other plans.
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So how is Humana going to 'absorb' about half of the members in other plans when the only market we are in is Medicare Advantage? Does anyone know?
4 replies (most recent on top)
My guess is Humana will lose about a million MA members this upcoming AEP due to increase in premiums and decrease in supplemental benefits. HMOs are typically cheaper than PPOs but offer less perks such as out of network benefits. I suspect HMO members will jump ship due to cost and find a cheaper, yet comparable plan with another insurer.
CFO is clueless
sinking ship.....
Example -Some areas may lose the HMO product but will keep a PPO product/plan. The members would move to that product. Fewer plans in some areas but still a plan to transition them into it sounds like.