WellCare Health Plans Inc.
) revealed that the New York Department of Health (DOH) has
sanctioned expansion of its New York Advocate Medicaid Managed
Long-Term Care (MLTC) health plans.
AETNA INC-NEW (AET): Free Stock Analysis
COVENTRY HLTHCR (CVH): Free Stock Analysis
HUMANA INC NEW (HUM): Free Stock Analysis
WELLCARE HEALTH (WCG): Free Stock Analysis
To read this article on Zacks.com click here.
The expansion will allow for WellCare to operate in four new
counties namely Nassau, Richmond, Suffolk and Westchester.
Currently, WellCare executes its MLTC health plan in nine
counties - Bronx, Kings, Queens, New York, Buffalo, Orange,
Rockland, Erie and Ulster.
The company began to enrol members under its Advocate Health plan
in the four new service areas on Mar 1. WellCare provides its
long term care services to approximately 4000 New Yorkers
enrolled under its Advocate and Advocate Plus plans, as of Feb
28, 2013. With the expansion of its operations to four new
counties, membership is scheduled to swell, thus favorably
affecting overall sales of the company.
Advocate, a managed long term care health plan is optimized for
people on Medicaid. The plan provides help to its members in
their day-to-day chores which includes home and personal care
services, thereby allowing them the benefit of staying in their
homes and communities. In other words the plan offers necessary
services to enable the vulnerable to enhance their standards of
WellCare has been continuously working towards business expansion
and foray into newer markets. The company concluded the purchase
of some assets of Arcadian Health Plan Inc.'s Desert Canyon
Community Care Medicare Advantage plans in Arizona from
) in Jan 2013. The deal was aimed at expanding its operations in
Last August, health insurer
) entered into an agreement to buy out its rival,
Coventry Health Care Inc.
) for $5.6 billion. The aim is to expand its Medicare and
Medicaid business. The expectation is that under ObamaCare, the
government-based health plans will expand significantly. The deal
is expected to culminate in the middle of 2013.
WellCare currently carries a Zacks Rank #3 (Hold).