CLAYTON, Mo. — The U.S. Division of Protection on Thursday bypassed Centene Corp. (NYSE: CNC) in awarding $136 billion in contracts for the medical insurance offered to active-duty navy members, a blow to the Clayton large and St. Louis’ largest public firm by income, which has lengthy held a number of the work.
The Protection Well being Company stated it was awarding the TRICARE contract for its west area to TriWest Healthcare Alliance of Phoenix, owned by Blue Cross Blue Defend nonprofits together with Blue Defend of California, Regence Blue Defend and BCBS of Arizona, together with the College of Colorado Hospital Authority and the College of New Mexico Hospital.
The $65.1 billion contract, held by Centene for years by way of its Well being Internet Federal Providers subsidiary, features a 12-month transition-in interval plus eight one-year possibility durations, a Protection Division spokesman stated. The west contains 1.5 million beneficiaries in Arkansas, Illinois, Louisiana, Oklahoma, Texas and Wisconsin.
Centene stated in an announcement that “we’re disillusioned by the DHA’s choice.”
“Now we have a debriefing scheduled with the DHA in early January and have requested particulars to which we’re entitled beneath the federal government’s process guidelines,” it stated. “Following receipt of this data, we will probably be able to find out our choices relating to the Company’s choice.”
Centene this yr misplaced one other main award, when the California Division of Well being Care Providers introduced in August its intent to award contracts for Medicaid managed care contracts to Centene’s subsidiary, Well being Internet of California Inc., in 9 counties however not in others, together with Los Angeles and Sacramento counties. Centene is making ready to take authorized motion if a California state company rejects its protest over how bidders have been chosen. And Centene, which has had a stagnant inventory worth this yr, has grappled with allegations of improper Medicaid billing to states. It is put aside $1.1 billion to resolve the claims, which at the moment are additionally the topic of a shareholder lawsuit towards ex-Centene executives.
Responding to Thursday’s choice, TriWest stated in a assertion that a number of entities have been additionally aiding it with the work: Accenture, Blue Well being Intelligence, BizFlow, Cognitive Medical Techniques, eviCore, EXL, FindHelp, HealthSparq, IBM, MDLIVE, MyRevelations, Omada, PsychArmor, PGBA, Signature Efficiency and Wells Fargo.
It additionally stated it beforehand held TRICARE contracts with the Protection Division for 17 years, starting in 1996 by way of 2013, additionally within the western U.S.
Click on right here to learn extra of the story on the St. Louis Enterprise Journal web site.
To look at 5 On Your Aspect broadcasts or studies 24/7, 5 On Your Aspect is at all times streaming on 5+. Obtain free of charge on Roku or Amazon Fireplace TV.