A contract is won and buy outs begin…the quest for cheaper doctors and reducing hospital visits for the elderly continues…Health Net lost a portion of the Tri-Care business with the last bid. 

UnitedHealth Receives $21.8B military health care contract With DOD Tri-Care – Aetna Gains Northern Region

It somewhat is starting to look like we are moving towards a “big 3” with large health insurance carriers, with Aetna and Blue Cross right in the running.  Goldman Sachs, no doubt will be pleased as again, it’s all about money and not healthcare.  Is your 401k money maybe invested here, something to think about.  Where’s the Rockefeller inquisition here?  Has that been dropped?  It certainly doesn’t seem to make much difference of late with Congressional testimonies as big business just keeps on doing whatever and however they want, don’t see anything here about the SEC either and again are we headed towards 3 large companies having control of most of the health insurance in the US?  BD 

Goldman Sachs – Healthcare Reform Bets, Hedges, and Analysis, Not About Healthcare But All About Money

UnitedHealth Group Inc. (UNH) agreed to buy Health Net Inc.'s (HNT) Northeast licensed subsidiaries for as much as $570 million in several payments over two years.

Last week, Health Net saw its credit ratings downgraded after the U.S. Department of Defense's Tricare program said it would award Health Net's multibillion-dollar contract to provide health coverage to military personnel to Aetna Inc. (AET) starting next spring.

Those moves spurred speculation the Health Net would speed up consideration of its options. The health insurer, long the subject of takeover speculation due to various operating difficulties, had been reviewing alternatives for its Northeast and Arizona operations.

Health Net said it will sell its Northeast insurance and HMO units in Connecticut, New York and New Jersey, which have about $450 million in tangible net equity, as well as membership renewal rights for its Life health care business in the Northeast.

It will retain its Arizona operations.

Will Greed lead to Meltdown of the Health System?

At the deal's closing, expected in the next 12 months, UnitedHealthcare, a UnitedHealth Group company, will transfer about $290 million to Health Net. About $160 million more will be distributed to Health Net as the business transitions during the next two years.

Article - WSJ.com

Related Reading:

United Health Care Says Cheaper Efficient Doctors and Reducing Hospital Visits by the Elderly Would Help Reduce the Cost of Healthcare

UnitedHealth Receives $21.8B military health care contract With DOD Tri-Care – Aetna Gains Northern Region

Update Cisco Lays Off Hundreds - UnitedHealth To Spend Tens of Million of Dollars with Cisco to Build Nationwide Telehealth Network –
Aetna and United HealthCare Secure Military Contracts with Tri-Care
I’m Stuck with United HealthCare – Would Welcome a Change to Try a Public Health Insurance Option
Insurance CEOs Get Rich While Denying Health Coverage to Children – As Noted in the Senate Hearings
Is This a Case for a New Law – Illegal Algorithms? How Do You Sleep at Night Rockefeller asked the CEO of United Health Care


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