Results show continuing improvement
Wellesley, MA (November 15, 2017) – Harvard Pilgrim Health Care today reported net income of $7.8 million and an operating loss of $1.1 million on revenue of $748.7 million for the third quarter ending September 30, 2017. For the first nine months of 2017, the health plan reported net income of $4.7 million and an operating loss of $8.5 million on revenue of $2.3 billion. As of September 30, 2017, total membership for Harvard Pilgrim was 1,231,111.
For the third quarter of 2016, Harvard Pilgrim reported a net loss of $12.7 million and an operating loss of $20.5 million on revenue of $760.9 million. For the first three quarters of 2016, the health plan reported a net loss of $46.9 million and an operating loss of $57.8 million on revenue of $2.3 billion.
“We are continuing to see improving results, and we are ahead of our financial plan for 2017,” said Harvard Pilgrim’s Chief Financial Officer Charley Goheen. “In 2017, we doubled membership in our Medicare Advantage plans and our subsidiary that serves self-funded employers, Health Plans Inc., continues to grow. Its recent acquisitions are helping to improve our bottom line. Our focus on controlling administrative costs is paying off, and our medical expense initiatives are having a positive impact on medical trend. Additionally, the work of our medical management and pharmacy staff, who are leading the way in finding innovative ways to negotiate outcomes-based contracts with pharmaceutical companies for new and emerging drugs, is beginning to have a beneficial impact. These arrangements tie payments to actual positive health outcomes in our members.
“While ongoing uncertainty from Washington related to the Affordable Care Act creates a challenging environment in which to operate, we are pleased to continue to serve our members on the public exchanges in Massachusetts, Maine and New Hampshire.
About Harvard Pilgrim Health Care
Harvard Pilgrim and its family of companies provide health benefit plans, programs and services to more than 3 million customers in New England and beyond. A leading not-for-profit health services company, we guide our members – and the communities we serve – to better health.
Founded by doctors nearly 50 years ago, we’re building on our legacy. In partnership with our expansive network of doctors and hospitals, we’re improving health outcomes and lowering costs through clinical quality and innovative care management.
Our commitment to the communities we serve is driven by the passion of the Harvard Pilgrim Health Care Foundation. Through its work, low- and moderate-income families are gaining greater access to fresh, affordable food — a cornerstone to better health and well-being.
Harvard Pilgrim Health Care