Large Employer Market Consolidates Again

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The Business Health Care Group (BHCG) will terminate it’s long term partnership with Humana early this year and will now offer members health insurance with United Healthcare effective January 1, 2016. BHCG has 107,000 members, including some large employers in southeastern Wisconsin.  United Healthcare was awarded the contract after Humana began moving away from providing its services in the large group market.

United Healthcare will be providing a premium designation plan to BHCG members.  This plan gives members a financial incentive to get care from physicians that are deemed efficient by United Healthcare. United Healthcare rates these physicians based on national quality standards and claims data that measures the total costs for an episode of care.

Mueller QAAS’ CEO, Jim Mueller, sees this as a further proof that employers have less choice than ever to purchase health insurance.  “With Humana leaving the large group market, employers have a choice between two ACO products (Anthem’s Aurora and Prohealth network or the Integrated Health Network with Network Health Plan), a premium designation plan through UHC, or traditional broad network plans with Anthem and UHC in Southeastern Wisconsin.  As always, the decrease in competition will hurt larger employers in the long term and it is more important than ever to have objective and strategic guidance.”