Nov 4 2009
WellCare Health Plans, Inc. (NYSE: WCG) today announced that the Centers for Medicare & Medicaid Services (“CMS”) released the Company from the previously disclosed sanctions, except as noted below. The Company will resume marketing its Medicare Prescription Drug Plans and Medicare Advantage coordinated care plans over the coming days. The enrollments will be effective beginning January 1, 2010. The Company intends to reinitiate marketing over the next several months in a measured fashion and has been notified by CMS that it will be subject to heightened regulatory monitoring during the upcoming open enrollment periods.
“We are pleased that CMS has recognized the significant improvements we have made across the Company,” said Heath Schiesser, WellCare’s president and chief executive officer. “Providing Medicare beneficiaries access to quality health care and ensuring the satisfaction of the members, providers and government clients we serve are top priorities for WellCare.”
As previously disclosed, the Company is not renewing its contracts with CMS for Medicare Advantage private fee-for-service plans in 2010. In addition, the Company is also not renewing its Medicare Advantage preferred provider organization contract in Ohio in 2010. The sanctions on marketing and enrollment for these plans will not be lifted prior to their planned termination at the conclusion of 2009.
Medicare drug plans are getting better next year. some will also cost more.