Coventry Health buys Kansas City Medicaid health plan
Wednesday, January 4, 2012
BETHESDA, Md. (AP) — Health insurer Coventry Health Care Inc. said Tuesday it acquired a Medicaid health plan that was operated by Children’s Mercy Hospital of Kansas City, Mo.
Coventry said the plan serves about 210,000 Medicaid members, 155,000 of them in Kansas and the rest in Missouri. It has $450 million in annual revenue. Coventry announced the deal Oct. 26 and did not say how much it will pay for the health plan.
The deal gives Coventry around 1.5 million members in the Midwest, including 900,000 Medicaid recipients. Shares of Coventry rose 54 cents, or 1.8 percent, to close at $30.91.