Wellesley, MA (August 15, 2017) – Harvard Pilgrim Health Care today released its second quarter earnings report.  Year-to-date, the health plan reports a net loss of $3.1 million and an operating loss of $7.4 million on revenue of $1.5 billion.  For the same period in 2016, it reported a net loss of $34.2 million and an operating loss of $37.3 million on revenue of $1.6 billion.

The health plan reported net income of $1.6 million and an operating loss of $1.9 million on revenue of $760.1 million for the second quarter of 2017. For the same period in 2016, the health plan reported net income of $0.7 million and an operating loss of $0.7 million on revenue of $811.4 million.   

Harvard Pilgrim’s total membership for the second quarter stands at 1,247,030 as compared to  1,293,586 in the second quarter of 2016. 
 
“Due to continued focus on improving patient outcomes and managing medical expense trend while working to control administrative costs, we are seeing improved financial results,” said Harvard Pilgrim Chief Financial Officer Charley Goheen. “While we are reporting a modest operating loss year-to-date, our initiatives are positively impacting trend. We continue to negotiate pharmacy contracts based on real life patient outcomes that not only hold down escalating pharmacy costs, but improve the health of our members.”

“However, continued uncertainty about the fate of health care reform, the individual mandate and subsidies for low-income individuals is making it increasingly difficult for us and other health insurers to run our businesses and plan for the future. To stabilize the health insurance market for our customers, we need clarity.”
                                                                                         
About Harvard Pilgrim Health Care 
Harvard Pilgrim is a not-for-profit health services company that, along with its subsidiaries, is improving the well-being of its 3.3 million customers.  Harvard Pilgrim’s flagship health plans in New England provide health coverage to 1.2 million members, while another 2.1 million individuals are served through Health Plans, Inc., a subsidiary that provides integrated care management, health coaching and plan administration solutions to self-funded employers nationwide.  Founded in 1969, Harvard Pilgrim has built its reputation on innovation and collaboration with a goal of lowering health care costs, improving care and enhancing the overall member experience. It is known for its excellent clinical programs, customer service, health improvement strategies and innovative tools that offer consumers greater transparency and empower them to make better decisions about their health care. Harvard Pilgrim is home to the Harvard Pilgrim Health Care Institute, a unique collaboration with Harvard Medical School. As Harvard Medical School’s Department of Population Medicine, the Institute is the only appointing department of a U.S. medical school housed within a health plan.   Funded primarily through external government and private sources, it provides critical information to all levels of our health care system on issues affecting population health and health care delivery. Harvard Pilgrim is consistently among America’s highest-rated health plans according to an annual ranking of the nation’s best health plans by the National Committee for Quality Assurance (NCQA)*.  
 
*Harvard Pilgrim Health Care (private HMO/POS and PPO plans) and Harvard Pilgrim Health Care of New England (private HMO/POS plans) have been rated 4.5 out of 5 in NCQA’s Private Health Insurance Plan Ratings 2016-17. NCQA’s Private Health Insurance Plan Ratings 2015-16. NCQA’s Private Health Insurance Plan Rankings, 2011-15, HMO/POS/PPO. 
 
 Harvard Pilgrim Health Care
Joan Fallon
(617) 509-7458
joan_fallon@hphc.org