With new or additional California Medicaid contracts in the offing, Molina Healthcare will add 1.4 million enrollees, mostly at Centene subsidiary HealthNet's expense, the Los Angeles Business Journal reported Sept. 12.
Six things to know:
1. Molina was awarded contracts Aug. 25 in Los Angeles, Riverside, San Bernardino, Sacramento and San Diego counties as part of Medi-Cal's first statewide managed care plan procurement process.
2. Those contracts come about three years after Molina lost state Medicaid contracts in Florida, New Mexico and Texas, according to the report. CEO Joseph Zubretsky acknowledged skepticism about the company's ability to compete for contracts while speaking at an investor conference.
3. Months later, Mr. Zubretsky hired two industry veterans to help the company retain Medicaid contracts and gain new ones, according to the report.
4. The Medi-Cal contracts mark Molina's largest Medicaid win, according to the report.
5. The California contract goes into effect Jan. 1, 2024.
6. Centene said HealthPlans' exit from Los Angeles and Sacramento counties will be a significant disruption to members and providers, and the company is evaluating its option to appeal the California Department of Healthcare Services' decision.