UnitedHealthGroup Behemoth Continues to Grow With Executive Health Resource Acquisition–Subsidiary Watch
Posted Aug 04 2010 10:46am
In the news last week it was announced discussions were taking place to buy yet one more company and with the announcement today it appears that is going to take place. You may not be insured with United but somewhere down the line they may be getting a chunk of money from your health claims as their business intelligence and other software are integrated throughout the entire US healthcare system. If not directly through premiums there are 3rd parties using their software for algorithmic formulas to detect fraud for one simple example and there’s others too numerous to list. The post below has a few summaries of some of their subsidiary actions to include banks, investments in China, pay for performance incentives for Walgreen pharmacists and so on.
This is more business intelligence type of services that would be added to to the Ingenix Database management and consulting division. This would be the fifth acquisition this years. In addition, speaking of Ingenix they were also in the news this week pushing their EHR with adding services to be able to transfer patient data into their system. The company is also bidding and winning contracts over seas.
Certainly there’s a bit of speculation in the title here as when you stop and take a look at all the subsidiary actions going on with the company and for the most part they are all bottom profit moves with much headed toward technology, are they too big to insure, or perform within the realms of what is expected of health insurers in the US. The company makes money not only from consumers, but also from other insurance companies through subsidiary transactions with data. For a small bit of history their former CEO has now joined a private equity firm and we kind of remember what happened here on backdating, right?
It’s all about those algorithms that create big profits here with software and mathematical formulas that create area of debit and profit where they didn’t exist before. BD
EDEN PRAIRIE, Minn. & NEWTOWN SQUARE, Pa., Aug 04, 2010 (BUSINESS WIRE) -- Ingenix, a leading health information technology and services company, today announced it is acquiring Executive Health Resources, a leading provider of medical necessity compliance and physician medical management solutions for hospitals. The transaction is subject to regulatory approval and other customary closing conditions and is expected to close before the end of 2010.
Combined, Executive Health Resources and Ingenix will have a greater ability to help hospitals manage medical necessity compliance requirements as hospitals and health systems serve an increasing volume of patients with government-sponsored health benefit plans. Executive Health Resources' Physician Advisor teams provide hospitals and health systems with the dedicated, technology-supported services needed to assist hospitals with managing compliance with Centers for Medicare & Medicaid Services (CMS)- and state-directed medical necessity rules and regulations. Ingenix offers consulting, information systems and services that help hospitals maintain the highest quality of care and improve operational efficiency.