Ana Gupte News
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The worst-case scenario for insurers in the Supreme Court review of the U.S. health-care law -- eliminating the mandate that everyone have insurance while other changes remain intact -- has been tested in states such as New York, Maine and Vermont.
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TriWest Healthcare Alliance Corp. protested its loss of a $20.5 billion military contract to UnitedHealth Group Inc., saying the nation’s largest health insurer has a record of poor performance and legal issues.
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UnitedHealth Group Inc. wrested a military health contract valued at as much as $20.5 billion from TriWest Healthcare Alliance Corp., a closely held company that has had the work since 2003.
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Cigna Corp. is considering selling or outsourcing its pharmacy-benefits division, a business that might fetch $1.5 billion for the U.S. health insurer in an acquisition, according to one analyst.
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The failure by state regulators to decide how much insurers must spend on patient care is scaring investors from health-plan stocks and complicating company decisions on premiums, commissions and cost cutting.
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U.S. corporations ended 2011 with the slowest profit growth in two years as the mending economy that lifted Macy’s Inc. was met by a European slump that vexed companies more tied to global sales, such as Cisco Systems Inc.
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Private-equity firms Carlyle Group and GTCR Golder Rauner LLC are looking to buy medical insurers, made newly attractive by a surge of customers expected from the U.S. health-care overhaul.
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U.S. health insurers can include the cost of federal taxes in determining whether they spend enough on patient care, increasing the amount that can be kept for administration or profit under new rules. Company shares rose .
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Top executives from UnitedHealth Group Inc. and WellPoint Inc. are meeting almost monthly with their counterparts from Aetna Inc ., Cigna Corp. and Humana Inc. in an informal lobbying alliance aimed at blunting parts of the health-care law, say people with knowledge of the sessions.
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Aetna Inc. , the third-largest U.S. health insurer, said Chairman and Chief Executive Officer Ronald A. Williams will step down and be replaced by Mark T. Bertolini , the company’s president.
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