Cigna Signs Deal with Duke Connected, Takes Over QANI - Analyst Blog
Cigna Corp. (CI) – a global health service company announced a collaborative care initiative in partnership with Duke Connected Care in the Greater Research Triangle. The tie-up is now a part of the 10 Cigna Collaborative Care programs in the Carolinas.
Cigna targets quality care and service for its customers at low costs. It also aims to improve overall value though its collaborative care program.
The Cigna’s Collaborative Care program is akin to an Accountable Care Organization (ACO). An ACO is a group effort by health care providers voluntarily forming alliances to provide coordinated and affordable high-quality care to patients. The ACO wave is sweeping across the health insurance industry as these provide insurers with a way to reduce medical cost.
The Cigna’s Collaborative Care program will provide the patients with the benefits even as they retain their current physician. The program does not specify any change regarding referrals to specialists. Patients suffering from long-term diseases such as diabetes, heart disease and obesity are the ones who will benefit the most from the initiative.
Cigna will also designate care coordinators to work closely with patients and monitor their services through its collaborative care initiative. They will follow up with the patient, send reminders about screenings or recommend direct medical help.
At the same time, they will educate patients by encouraging them to participate in various health and wellness programs and workshops. The company intends to provide all facilities like preventive care and improved care coordination to the patients.
Earlier this week, Cigna announced the acquisition of QualCare Alliance Networks, Inc. (“QANI”) in order to combine its innovative and affordable health care solutions with QANI’s proficiency in working with hospital systems. This is not only expected to motivate customer engagement but also meet personal health needs. The transaction is expected to close in the first quarter of 2015.
New Jersey-based QANI, together with Cigna will offer various services like multi-tier plan administration, population analytics, performance reporting and management, clinical benchmarking and other services to hospital systems as well as physicians through their expert knowledge and a wide portfolio of health-related products and services.
This acquisition reflects Cigna’s commitment to provide next generation health care models to the hospital systems thereby offering greater value and better health outcomes to the customers.
Currently, Cigna carries a Zacks Rank #3 (Hold).
Other Stocks to Consider
Better-ranked stocks in the multiline insurance sector include MGIC Investment Corp. (MTG), Ping An Insurance (Group) Company of China, Ltd. (PNGAY) and Assured Guaranty Ltd. (AGO). Each of these stocks sports a Zacks Rank #1 (Strong Buy).
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
CIGNA CORP (CI): Free Stock Analysis Report
MGIC INVSTMT CP (MTG): Free Stock Analysis Report
ASSURED GUARNTY (AGO): Free Stock Analysis Report
PING AN INS GRP (PNGAY): Get Free Report
To read this article on Zacks.com click here.
Zacks Investment Research
