Medicaid contract boosts Presbyterian’s bottom line
Presbyterian Healthcare Services, Albuquerque, continues to register a positive year, with the most substantial growth seen in the hospital system’s insurance arm.
Presbyterian owns six hospitals, leases two others and operates one of the largest health insurance companies in the state with more than 442,000 covered lives. The system reported last week that its operating surplus doubled in the third quarter to $53.2 million. Revenue, meanwhile, rose 31% to $683.6 million.
Most of those gains came from Presbyterian’s health plans. Starting in January, New Mexico expanded its Medicaid managed-care program and named Presbyterian as one of the contracted carriers. Since then, Presbyterian’s premium revenue from members has soared 33% to almost $1.3 billion. Medicaid membership has increased 17% since the end of 2013, totaling almost 191,000 beneficiaries.