Humana Inc. is a leading health insurer in the U.S. The company provides coordinated health insurance coverage and other services to employers, government-sponsored plans, and individuals. To sustain lifelong well-being, it offers programs to help people manage health conditions such as diabetes, chronic obstructive pulmonary disorder, and congestive heart failure. Know the top Humana government contracts here!
1. Department of Defense Awards Humana Military TRICARE Contracts, $41 Billion
Contract duration: April 2022
In 2016, the U.S. Department of Defense awarded the Humana Military Healthcare Services a multiyear contract to administer TRICARE, a premier health care program serving 9.6 million Guard and Reserve, active duty service, and retired service members.
The Tricare contract is worth $58 billion, split by the Department of Defense between two health care providers, Health Net Federal Services, Centene Corporation’s subsidiary ($17.7 billion), and Humana Military ($40.5 billion), to manage separate regions. Health Net Federal Services runs Tricare’s West contracts, while Humana Military runs East contracts.
The consolidation of the two regions reduced its previous coverage of three regions (North, West, and South) to the East and West. Also, it improved coordination between civilian healthcare providers and military hospitals and clinics in each region.
2. Department of Defense Awards Humana Military Service Contract, $23.5 Billion
Contract duration: 5 years
In 2011, the Department of Defense awarded Humana a $23.5 billion contract. The TRICARE South Region health care administrative services contract commenced in 2012 to provide health care benefits to 3 million active-duty and retired soldiers and family members in ten Southern states. 93% went to clinics, doctors, and hospitals that provided services.
3. Defense Health Agency Awards Humana Government Business Inc. Healthcare Delivery Managed Care Contract Extension, $3.8 Billion
In February 2017, Humana Government Business Inc. received a one-year contract extension worth $3.8 billion on the current healthcare delivery managed care contract. The contract award from the Defense Health Agency wasn’t an open competition and served as a bridge for the uninterrupted delivery of health benefits management functions and managed care services to over 3 million Tricare program beneficiaries in the southern states until the implementation of T2017.
4. OHCA Awards Humana Healthy Horizons Medicaid Contract, $2 Billion
In January 2021, Humana Healthy Horizons, the company’s Medicaid division, was one of the four private health insurance companies that the Oklahoma Health Care Authority (OHCA) selected to deliver health care coverage to Medicaid beneficiaries. The contract was worth $2.1 billion, as announced by state officials. Under the contract, Humana has:
- Ushered in managed care and partially privatized SoonerCare, Oklahoma’s Medicaid program served more than 270,000 citizens in Oklahoma across various business lines
- Provided coordinated pharmacy, wellness, and medical benefits coverage to its Prescription Drug Plan and Medicare Advantage to the members
- Administered health care coverage for military members, dependents, and military retirees, through the federal TRICARE program
5. U.S. Defense Health Agency Awards Humana Government Business Inc., $121.9 Million Modification
Humana Government Business secured a $121.9 million defense health modification contract from the Defense Health Agency. The modification administers changes to the Military Health System mandated by the 2017 National Defense Authorization Act, mainly by replacing TRICARE Standard Health and TRICARE extra programs with TRICARE Select to bring TRICARE improvements.
The work commenced on January 2017 and will end on December 2022 in the eastern region of the continental U.S. at military service component sites, contractor call centers, and an integrated healthcare provider network.
Frequently Asked Questions
Is Humana Inc. a government contractor?
Humana is one of the top healthcare and medical government contractors. In 2022, it had a net income rise of 18% or $696 million compared to $588 million in the previous year’s second quarter.
What is Humana Military Healthcare Services?
Humana Military is a Humana subsidiary founded in 1993. It has been a Department of Defense contractor since July 1996, administering the TRICARE program. It also serves as a partner Military Spouse Employment Partnership that helps military spouses find jobs through partnerships with national firms to keep their job after moving to a new duty station.