Global health insurance provider Aetna has signed an agreement to dispose of all of its standalone Medicare Part D business to a subsidiary of WellCare Health Plans.
The transaction is conditional to the closing of CVS Health’s proposed acquisition of Aetna, as well as regulatory approvals and other customary closing conditions.
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The agreement covers both Individual and Group standalone Part D members.
Post- divestiture, Aetna will continue to administer and offer service and support for the plans that are impacted by this transaction throughout the 2019.
In a statement said: “It’s important to note all other plans and products, including our Individual Medicare Advantage (MA), integrated Medicare Advantage with Part D (MAPD) and standalone (MA-only) Group Medicare Advantage, Medicare Supplement, Ancillary, and Commercial plans and products, are not impacted by this sale.”
WellCare operates as a managed-care operator and focuses on both Medicare and Medicaid coverage. The company already serves approximately 1.1 million Part D members.
The acquisition of Medicare Part D represents WellCare’s third transaction over the last the two years. In 2017, the company purchased Universal American and recently acquired Meridian Health.
