This week we are reading about Medicare Advantage changes to ESRD, Integrity acquiring The Brokerage Resource, eHealth’s first quarter results and UnitedHealth’s first quarter earnings.
What Is Changing For Beneficiaries with End-Stage Renal Disease (ESRD) in 2021? | AHIP | March 2020
ESRD, or kidney failure, affects more than 500,000 Medicare beneficiaries. These individuals are not currently eligible to enroll in the Medicare Advantage program but may be covered by an MA plan if they developed ESRD after enrollment or were grandfathered through employer-sponsored coverage. Currently 130,000 people with ESRD, or 25% of this population on Medicare, have coverage through an MA plan.
MA enrollment by individuals with ESRD is expected to accelerate beginning in 2021, when a provision of the 21st Century Cures Act (Cures Act) lifts the current enrollment restrictions. CMS estimates that an additional 83,000 people with ESRD will enroll in MA by 2026, which represents an increase of 63%.
In early February, CMS issued several pieces of proposed regulatory guidance impacted by this change in the rules around MA enrollment for beneficiaries with ESRD.
Integrity Marketing Group Expands to Serve More Americans by Acquiring The Brokerage Resource| PR Newswire | April 14, 2020
Integrity Marketing Group, LLC (“Integrity”), the nation’s largest independent distributor of life and health insurance products, today announced it has acquired The Brokerage Resource, an insurance marketing organization headquartered in North Carolina. As part of the acquisition, Sam Corey, III, will become an owner in Integrity. Financial terms of the transaction were not disclosed.
The Brokerage Resource is recognized for their knowledge and experience in the life and health insurance space. They are experts in the ever-changing senior healthcare marketplace and are a national leader in Medicare Supplement insurance. As such, they hold advisory positions on numerous national committees. The Corey family has worked in every facet of the insurance business, from underwriting and knocking doors to administration and owning an insurance company.
eHealth, Inc. Announces First Quarter 2020 Results | PR Newswire | April 23, 2020
eHealth, Inc., a leading private online health insurance marketplace, announces its financial results for the first quarter ended March 31, 2020.
Scott Flanders, chief executive officer of eHealth stated, “In this challenging environment shaped by the COVID-19 pandemic, our company mission to connect every person with the highest quality, most affordable health insurance for their life circumstances is more relevant and important than ever. As social distancing measures remain in place around the country, we are glad to be able to continue to meet consumers wherever it is easiest, most convenient, and safest for them to engage – online and by speaking to a licensed insurance agent over the phone.”
Overall revenue for the first quarter of 2020 was $106.4 million, a 55% increase compared to $68.8 million for the first quarter of 2019. Revenue from Medicare segment was $96.2 million for the first quarter of 2020, a 75% increase compared to $54.9 million for the first quarter of 2019.
UnitedHealth Beats Q1 Earnings Forecast, Holds 2020 Profit Guidance | TheStreet | April 15, 2020
UnitedHealth Group posted stronger-than-expected first quarter earnings and held onto its full-year earnings guidance as it continues to monitor the impact of the coronavirus pandemic on its U.S. operations.
UnitedHealth said adjusted earnings for the three months ending in March came in $3.72 per share, down 1 penny from the same period last year but 10 cents ahead of the Street consensus forecast. Group revenues, UnitedHealth said, rose 6.8% to $64.4 billion, a figure that fell largely in-line with analysts’ estimates.
Looking into the 2020 financial year, UnitedHealth maintained its earnings forecast of an adjusted bottom line of $16.25 to $16.55 per share.