Morning Briefing
Summaries of health policy coverage from major news organizations
Cigna Reports Profits Fell After Scrutiny Of Medicare Advantage Plans
The Wall Street Journal: Cigna’s Profit Falls On Government Business
Cigna Corp. said profit fell in its latest quarter as its government business dragged on results. The government segment’s issues included medical costs in Cigna’s small Medicaid business, particularly in Texas and Illinois. Cigna also faced expenses related to a Centers for Medicare and Medicaid Services audit of its Medicare plans. (Hufford, 11/3)
Hartford Courant: Medicare Advantage Audit Costly For Cigna
Cigna Corp. third quarter profits were down compared to a year ago as costs to reform its Medicare Advantage and Medicare drug prescription programs were a drag on results. ... Cigna has been under sanctions from federal regulators since late January. The Centers for Medicare and Medicaid Services said Cigna had widespread and systemic failures that prevented seniors from accessing medical services and prescription drugs. It said that the ways Cigna operated in restricting access to drugs and services created "a serious threat to enrollees' health and safety." (Lee, 11/3)
Morning Consult: Cigna CEO: Insurer Planning for Obamacare Loss in 2017
The health insurer Cigna is planning for a loss on the Obamacare market next year, its CEO said Thursday. “We are going to expect to see some revenue growth but we are continuing to plan for a loss,” CEO David Cordani said on the company’s third quarter earnings call. The insurer’s strategy to slowly expand into the new marketplace created by the Affordable Care Act has “proven to be more right than wrong,” he said, noting that was unfortunate. (McIntire, 11/3)
