All markets exceed performance goals
(Wellesley, MA) – Harvard Pilgrim Health Care today reported a net gain of $0.1 million and an operating loss of $9.4 million on revenue of $790.8 million for the first quarter of 2018. For the same period in 2017, the health plan reported a net loss of $4.7 million and an operating loss of $5.5 million on revenue of $788.3 million.
Harvard Pilgrim’s total membership for the first quarter stands at 1,239,335 as compared to 1,273,552 in the first quarter of 2017.
“In the first quarter of this year, we performed better than expected, despite booking a $36.6 million ACA health insurance tax liability in January,” said Harvard Pilgrim Chief Financial Officer Charley Goheen. “Each of our markets exceeded their performance goals as we execute our on-going growth, medical cost management and member experience improvement initiatives. We are benefiting from our geographical and product diversification as well as the strength of our TPA, Health Plans Inc. We also saw favorable results on specialty pharmacy spending due to improvements in managing care and preventing waste.”
Recent federal regulation requires health plans that have incurred ACA health insurance tax liability to book the full amount of the tax on January 1. This tax was not in effect in 2017.
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