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Cigna scoops up Humana Medicare Advantage plans

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Sale of plans in three Texas and Arkansas markets will help Humana satisfy its government-stipulated divestiture so that it can complete its acquisition of Arcadian Health.

Cigna will purchase Medicare Advantage plans in three markets in Texas and Arkansas from Humana. The sale comes on the heels of last year’s government stipulation that Humana divest some of its Medicare Advantage plans in order to complete its acquisition of Arcadian Health.

The plans in Amarillo and Longview-Marshall, Texas, and Texarkana, Ark., will move about 3,500 Humana or Arcadian members to Cigna’s HealthSpring on Jan. 1, 2013. HealthSpring, based in Nashville, already serves more than 1 million customers, but this allows it to extend into Arkansas for the first time and expand its current footprint in Texas.

“We welcome our new customers to our talented team of doctors and staff that have proudly served our customers for over a decade,” stated HealthSpring President Herb Fritch in a press release. “At HealthSpring, we dedicate significant resources to meet the individual needs of each and every one of our customers and we look forward to delivering our service to more Texas and Arkansas seniors.”

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