Health Net says that it expects consolidated revenues for the combined Western Region Operations and Government Contracts segments to be about $10.7 billion to $11.2 billion in 2013. Compared to year-end 2012, the company expects the following:
* Total health plan membership will decline 1% to 2%.
* Commercial enrollment will decline 8% to 9%.
* Medicare Advantage enrollment will increase 1% to 2%.
* Medicaid enrollment will increase 4% to 6%.
In 2013, the company expects commercial enrollment to be more heavily weighted to smaller accounts and tailored network products that have lower than company-average premiums per-member, per-month. The company expects several factors to affect commercial health care costs per-member, per-month in the Western Region: a continuing shift from larger to smaller groups, from higher cost to lower cost geographies, and from full network products to more efficient products with lower medical care ratios. Health Net anticipates re-pricing actions with its largest accounts.
