Humana 2012 Annual Report Download - page 19

Download and view the complete annual report

Please find page 19 of the 2012 Humana annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 164

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156
  • 157
  • 158
  • 159
  • 160
  • 161
  • 162
  • 163
  • 164

Our Health and Well-Being Services Segment Products
This segment is comprised of stand-alone businesses that promote health and well-being. These services are
sold primarily to other Humana businesses, as well as external health plan members, external health plans, and
other employers or individuals and are described in the discussion that follows. Our intersegment revenue is
described in Note 16 to the consolidated financial statements included in Item 8. – Financial Statements and
Supplementary Data. The following table presents our services revenue for the Health and Well-Being Services
segment by line of business for the year ended December 31, 2012:
Health and Well-
Being Services Segment
Premiums and
Services Revenue
Percent of
Consolidated
Premiums and
Services Revenue
(dollars in millions)
Intersegment revenue:
Pharmacy solutions ..................... $11,352 n/a
Provider services ....................... 214 n/a
Integrated wellness services .............. 219 n/a
Home care services ..................... 167 n/a
Total intersegment revenue ........... $11,952
External services revenue:
Provider services ....................... $ 967 2.5%
Home care services ..................... 40 0.1%
Pharmacy solutions ..................... 16 0.0%
Integrated wellness services .............. 13 0.0%
Total external services revenue ........ $ 1,036 2.6 %
n/a – not applicable
Pharmacy solutions
Humana Pharmacy Solutions®, or HPS, manages traditional prescription drug coverage for both individuals
and employer groups in addition to providing a broad array of pharmacy solutions. HPS also operates
prescription mail order services for brand, generic, and specialty drugs and diabetic supplies through
RightSourceRx®, as well as research services.
Provider services
Our subsidiary, Concentra Inc.®, acquired in December 2010, delivers primary care, occupational medicine,
urgent care, physical therapy, and wellness services to employees and the general public through its operation of
medical centers and worksite medical facilities.
Our CAC Medical Centers, or CAC, in South Florida operate full-service, multi-specialty medical centers
staffed by primary care providers and medical specialists practicing cardiology, endocrinology, geriatric
medicine, internal medicine, ophthalmology, neurology, and podiatry.
We acquired Metropolitan Health Networks, Inc., or Metropolitan, on December 21, 2012, and we acquired
a noncontrolling equity interest in MCCI Holdings, LLC, or MCCI, on October 29, 2012. Metropolitan and
MCCI are Medical Services Organizations, or MSOs, that coordinate medical care for Medicare Advantage
beneficiaries and Medicaid recipients, primarily in Florida and Texas. The Metropolitan and MCCI transactions
are expected to provide us with components of a successful integrated care delivery model that has demonstrated
scalability to new markets. A substantial portion of the revenues for both Metropolitan and MCCI are derived
from services provided to Humana Medicare Advantage members under capitation contracts with our health
9