What’s the reasoning behind that? Medicaid is a tougher market than Medicare, and Humana is losing money in Medicaid. While it helps with the growth of SNP for Medicare, overall, it’s not worth it.
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This is a fast route to go bankruptcy or get merged by another bigger company. Humana is not good at Medicaid business and only uses Medicaid as an leverage to get recommendation from government for Medicare business.
Can’t sell dual eligible SNP plans UNLESS you have a Medicaid contract in that state. FIDE and HIDE plans very profitable.
It makes no sense. We are most likely headed to a Medicare for All system in the near futute which will void the need for Medicaid.
In the future, a lot of states will require carriers to have a Medicaid contract in order to offer D-SNP plans. D-SNP plans are highly profitable, so it is crucial to remain in the market.