Amerigroup Corp. just got bigger.
The public held insurer, which has more than 2 million members in nearly a dozen states, agreed to acquire HealthPlus, one of the largest Medicaid managed-care companies in New York, Crain’s New York reported. The deal, valued at $85 million, is expected to be finalized early next year.
“This acquisition will provide greater access to quality care for Amerigroup and Health Plus members, cost savings for the state and New York City, as well as provide a renewed investment in the local community,” James Carlson, Amerigroup’s chairman and CEO, said in a statement. “Our national expertise in coordinating care for low-income populations and people with disabilities, coupled with the excellence of Health Plus, will allow us to better serve current and new members, collaborate with providers and expand our patient-centered medical home model.”
The health care plan is expected to bring in an estimated $1 billion in revenue this year. New York already has the second highest Medicaid enrollment in the country, with nearly 5 million people.
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