- Anthem announced Wednesday that it is acquiring Integra Managed Care, a long-term care plan in New York that cares for adults with disabilities in their own homes.
- Integra currently serves 40,000 Medicaid members and provides services via a care management team that includes social workers and nurses who coordinate with family members and the member's healthcare providers.
- Financial terms were not disclosed. The deal is expected to close by the end of the second quarter in 2022.
The acquisition expands the payer's Medicaid business, an area that has seen sizable growth over the past year as federal policies have barred states from removing Medicaid members from coverage during the COVID-19 pandemic.
In the third quarter alone, Anthem reported Medicaid membership grew 21% from the third quarter of 2020. Growth in its Medicare business has also been strong. On the other hand, as the insurer reports large gains in its government-sponsored business, its commercial segment has remained stagnant as the pandemic spurred historic job losses, cutting Americans from their job-based coverage.
"This acquisition aligns with our goal of growing Anthem's Medicaid business, while serving our members with a comprehensive and coordinated approach to care," Felicia Norwood, EVP of Anthem's government business division, said in a statement.
The move comes as the Medicaid rolls have swelled. A record number of Americans are now covered by the government-sponsored coverage. Though insurers expect those figures to come down when the COVID-19 public health emergency ends and states can resume eligibility checks.
Anthem ended the third quarter with about 10.4 million Medicaid members, and overall, a total medical membership of about 45.1 million members.
This latest announcement follows Anthem's acquisition of Puerto Rico-based MMM Holdings. Through the deal, Anthem gained the largest Medicare Advantage plan and the second-largest Medicaid plan there, significantly expanding its government book of business with the addition of 572,000 members.