Oct 12 Health insurer Humana Inc on
Wednesday raised its full-year earnings forecast, primarily due
to better-than-projected performance in its Medicare Advantage
Humana now anticipates earnings of about $8.80 per share on
a GAAP basis and about $9.50 on an adjusted basis for the year
ending Dec. 31, or $0.25 per share above its previous guidance.
The company said that a decline in memberships in its 4-Star
plans does not take into account certain operational actions it
intends to take over the coming quarters to mitigate any
potential impact of published ratings on Star bonus revenues for
Medicare uses a Star rating system to measure how well
Medicare Advantage and prescription drug plans perform. Medicare
scores are based on several categories including quality of care
and customer service. Ratings range from 1 to 5 stars, with five
being the highest and one being the lowest score.
Humana said it intends to file for reconsideration of
certain of Star ratings for the 2018 bonus year.
(Reporting by Ankur Banerjee in Bengaluru)