Humana shares up on Medicare news
Shares in health insurer Humana Inc. and many of its competitors rose sharply Monday, following news late Friday that the federal government will not implement expected cuts in reimbursements for insurers offering Medicare coverage. Louisville-based Humana (NYSE: HUM) is one of the nation’s largest insurance companies and has concentrated its business in recent years on providing Medicare services. Humana provided Medicare coverage for about 3.4 million people in 2009, which was down 23.7 percent from the previous year.
Overall, the company had 10.3 million medical members. The company had 2009 revenue of $31 billion, including $18.74 billion from the Medicare program. On Friday, Feb. 19, the U.S. Centers for Medicare & Medicaid Services released its preliminary estimate for next year, telling insurers it is proposing a 1.38 percent increase in the national per capita rate paid for Medicare members who receive coverage through private companies such as Humana. [Read the full article]