Latest updates: Humana for the South, UnitedHealth for the West. TL: over $40 billion.
In July 2009, the US Department of Defense’s TRICARE Management Activity (TMA), which provides health care coverage to 9.4 million active duty military family members, military retirees and their eligible family members, issued a number of regional management contract. Under the regional TRICARE MCS services contracts, the companies provide the US military with management of healthcare provider networks and referrals, medical management, enrollment, claims processing, customer service and access to data, among other requirements. The companies will serve as intermediaries between the U.S. military personnel and the U.S. military’s medical care system, similar to the role of a healthcare insurance provider in the private sector.
The size of the covered TRICARE population ensures that these will not be small contracts. The 2009 contracts covered up to $55.5 billion in US regional managed care support (MCS) services, from 3 companies: TriWest Healthcare Alliance Corp. in Phoenix, AZ for the West, Aetna Government Health Plans in Hartford, CT for the North, and UnitedHealth Military & Veterans Services in Minnetonka, MN for the South.
Every single “winner” subsequently lost, after GAO protests were filed. The protests have finally sorted themselves out, and final winners have been declared, but at the price of years of delay…
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