The Defense Health Agency has granted Humana a 1-year, $3.80 billion “bridge” Tricare managed service agreement extension to extend the healthcare delivery services of company under the Tricare Health Benefits program.
The government of Humana business unit will sustain to support health benefits management functions and give managed care services to almost 3 million Tricare program beneficiaries in the southern U.S., the Defense Department said Thursday.
The company assists the Military Health System adjucate more than 240 million medical claims each year with automated claims processing technology, in accordance to DoD.
DoD pointed out that the Tricare managed service agreement extension will run through the day of March 31, 2018, and seeks to ensure uninterrupted care delivery throughout the South region until DHA executes the follow-on T-2017 Tricare managed support contracts.
Previous year, DHA awarded a pair of contracts worth up to $58 billion for Humana and Health Net to respectively provide Tricare support services in the East and West regions.
Health Net, UnitedHealth Military and Veterans and Wellpoint consequently challenged the Tricare contract awards at the Government Accountability Office (GAO) and all 3 health insurers’ protests were refused by GAO.
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