Here we go again, Kathleen Sebelius's favorite insurance company of late.  we know from the past couple of years that Algo Fairies have been a big portion of how HHS has functioned at times.  This is interesting imagewith 30 days given as obviously there has been some extensive time allowed to survey the bad algorithms here.  United Healthcare doesn’t always get everything right and here’s one example in the news recently to where they bid and won a contract and didn’t have providers available…so their intelligence has issues too…kind of embarrassing on that one.  So we shall see if 30 days is adequate or if we are looking for some more algorithms fairies here. 

Howard County School Board in Maryland Rescinds United Healthcare Contract As Retirees Didn’t Want the Medicare Advantage Plan, No Providers Available..

It was pretty interesting to watch Nancy Pelosi throw Sebelius under the bus on the daily show last week. 

Nancy Pelosi on Obamacare And The Website “It’s Not My Responsibility” We Just Work Hard and Pass Bills, Blame Sebelius at HHS…Jon Stewart At the Daily Show

Again I look at companies as a whole to include 15 pages of subsidiaries as listed at the SEC to get the whole picture on how companies operate as it surprises you at times to find them in businesses and getting your hard earned dollar beyond just buying an insurance policy…everyone talks about being fair with competition…well its gray sometimes as with so many subsidiaries you don’t realize that’s there’s really no competition at all, well other than competition between subsidiaries of the same corporation at times.  Maryland just brought them in too. 

Maryland State Insurance Exchange Brings In United Healthcare Subsidiary QSSI To Help Repair The System, Their Main Contractor Is Also Owned By Insurance Company, Insurers Have Truckloads of Subsidiary Companies You May Not Be Aware Of

A few years ago the company integrated their revenue cycling with Cerner medical records as part of the system so there’s some licensing revenue that comes in to a subsidiary of United when a Cerner system is sold, as of course United is not giving away the software for free and that integration was announced before the name change from Ingenix to Optum.   Also of interest the CEO of Optum Insights (United sub) spent a number of years at Cerner before going to work there.

Here’s a past post with a ton of links relative to United from my archives over the last four or so years…even some on here beyond what you see at the SEC, as again some of these are 51% controlling interest ownerships, kind of how they under the radar.  LHI is another United owned government contractor that does disability work for the VA and is always looking to hire doctors to see military patients and use “their” software to add such medical records created to the VA VistA record system, big operation that also does healthcare deployment for the DOD as well such as group inoculations and physicals too.  United by the way does have a “military” subsidiary that handles that end of their business and the Tri-Care agreement figures in there too and you may or may not remember that United sued DOD to get the Tri-Care West contract and there’s been almost nothing in public records to tell us what exactly was the case here and in getting the contract through a lawsuit as such, they put a Blue Cross subsidiary that had the contract out of business.

Anyway, here’s a couple SEC listing links for UnitedHealthGroup aka United Healthcare and Optum.

It’s getting so big now with not enough competition that I have a couple readers asking me if Untied Healthcare is going to get the data contract to model a Single payer program…it’s what they do as 1/3 of their revenue is non insurance related.  Meanwhile back at the ranch in the next states over Connecticut along with New York,and joined by the TMA, CMA and others are duking it out over firing providers with United. 

 Heck with brand recognition like this, who needs enemies (grin). 

Medical Society of the State of New York Files Lawsuit Asking Court to Intervene To Prevent United Healthcare From Dropping Around 2000 Doctors From Medicare Plans

On the Minnesota Exchange story with contractors the news brought up a big fine with their contractor chosen in 2007, however it over looked another in the same year…too big to fail and government is completed snowed as the tiered SEC subsidiary strategy United uses is working it appears.  In 30 days I guess Massachusetts will find out if the brought in fairies or coder that can do the work  in 30 days…will be interesting and no surprise if more than 30 days could be on the agenda.  

“Anyway the choices with contractors in Minnesota is interesting as the first contractor they got rid of in May, Maximus  paid over $30 million to settle Medicaid fraud in 2007 but again that’s kind of small compared to the $468 million paid by the former United CEO also in the same year and worth a mention since we are bringing up the Maximus fraud case.   In a legal brief on the web I read where other executives as well as the CEO had backdated stocks too but he took the fall for all of it as he had the lion’s share.   By the way McGuire, the former CEO is now sitting on a couple healthcare company boards and living quite well in what you might call a mansion in the state. “  BD

The Massachusetts Health Connector, which runs the state’s failed health insurance website, is hiring technology firm Optum to a 30-day, $9.8 million contract to fast-track repairs, Governor Deval Patrick announced Thursday at a State House news conference.

Optum, which is the same company that helped get the federal insurance website,, back on track last fall, will bring in up to 300 people with insurance expertise to help Massachusetts residents get enrolled.

The state will continue working with CGI, the technology firm that built the online marketplace, but will keep the company on “a much shorter leash,” Patrick said.


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