Humana Inc., based in Louisville, saw revenue rise in the third quarter of 2021, while net income fell marginally.
- Revenue: Humana reported revenue of $20.7 billion this quarter, up from $20.1 billion in the third quarter of 2020. It also puts year-to-date sales for 2021 about $4 billion higher than the third quarter figure from last year.
- Profits: The insurance also made $1.64 billion in profit, down 6.8% from the $1.76 billion it made in the third quarter of 2020. At the end of the third quarter, the number of people enrolled in Medicare Advantage had climbed by 462,000 (12%), bringing the total to 4.4 million.
- Enrolment: Humana also reported around 560,000 group Medicare Advantage enrollees (down 9%), 3.6 million standalone PDP members (down 7%), and approximately 909,000 state-based contract membership and other enrollments (up 25 percent).
- Growth: The company anticipates 11 percent year-over-year growth in Medicare Advantage enrollment by the end of 2021, adding 450,000 members. Total expenses shot up 10% year over year on higher benefits, operating costs, and depreciation and amortization costs.
- Ratio: Benefit ratio of 88.1% expanded 300 bps year over year due to the termination of the non-deductible HIF in 2021 along with the impact from the competitive nature of the group Medicare Advantage business and the adverse effects of COVID-19 in 2020.