Humana Inc. on Wednesday said that it had completed acquisition of MD Care, a Medicare health maintenance organization based in Long Beach.
The acquisition increases the Louisville, Ky. health insurer’s Medicare HMO membership by about 15,000 members in Los Angeles, Orange, San Bernardino and Riverside counties. Terms of the deal were not disclosed.
MD Care offers its Medicare enrollees several alternatives to traditional fee-for-service Medicare, including HMO, or “Advantage,” plans. Founded in 2007, the private company had revenue of $155 million in 2010.
Humana said in its announcement that there would be no interruption in coverage or access to existing providers for MD Care enrollees. The company also intends to maintain MD Care’s operations in Long Beach and retain its 105 employees, a Humana spokeswoman told the Business Journal.
“As Humana continues growing its Medicare business in the western U.S., MD Care offers an opportunity to expand our Medicare footprint and the suite of products and services that we offer in California,” said Thomas J. Liston, Humana senior vice president of senior products, in a statement.