Amerigroup Explained

Amerigroup
Type:Subsidiary
Foundation: (as AMERICAID Community Care)
(as Amerigroup)
Location:Virginia Beach, Virginia
Key People:Peter D. Haytaian, Executive Vice President, Government Business Division, Anthem, Inc.
Num Employees:10,000+ (2020)
Industry:Health Insurance, Managed Health Care
Parent:Elevance Health Inc.
Products:Publicly funded health care program management
Homepage:www.amerigroup.com/

Amerigroup is an American health insurance and managed health care provider. Amerigroup covers 7.7 million seniors, people with disabilities, low-income families and other state and federally sponsored beneficiaries, and federal employees in 26 states, making it the nation's largest provider of health care for public programs.[1] In July 2023, it was announced that Amerigroup's name would change to Wellpoint in six states beginning in January 2024.[2] [3]

History

Amerigroup began as AMERICAID Community Care in 1994 and was initially aimed at the health care problems of children, mothers and pregnant women enrolled in Medicaid. Amerigroup became a publicly traded corporation in November of 2001.[4] [5]

In 2006, Amerigroup entered the Medicare Advantage program, serving low-income people who are eligible for both Medicare and Medicaid through special needs plans.

In 2007, Amerigroup began the operation of traditional Medicare Advantage plans. Currently, Amerigroup offers health care services through three government programs that target different segments of the country's low-income population: Medicaid, the Children's Health Insurance Program (CHIP) and Medicare.[6]

On July 9, 2012, Anthem Inc. (then known as WellPoint) entered into an agreement to acquire Amerigroup Corporation for $4.9 billion.[7] Anthem has since re-branded to Elevance Health, Inc.[8]

On March 1, 2020, Amerigroup told Grays Harbor Community Hospital (GHCH) and Harbor Medical Group (HMG) of their decision to terminate their relationship with the company effective June 28, 2020.[9]

Health care products

[10] As of December 31, 2012:

Children's Health Insurance Program (CHIP)[11]

Seniors and People with Disabilities (S/PD)[12]

Temporary Assistance for Needy Families (TANF)[13]

FamilyCare[14]

Medicare Advantage[15]

National Advisory Board

In 2007, Amerigroup developed the National Advisory Board (NAB) to focus on meeting the needs of seniors and people with disabilities, who are a significant proportion of its clients. The NAB provides policy recommendations for improving programs and services for seniors and people with disabilities. Convened by Lex Frieden, who was instrumental in conceiving and drafting the Americans with Disabilities Act of 1990, the NAB is made up of 19 community advocates, health care experts and academics.[16] The NAB advocated that the modernized health care infrastructure be required to meet the needs of people with disabilities and seniors.[17]

Corporate social responsibility

Amerigroup Foundation

The main goals of the Amerigroup Foundation are to foster access to care, encourage safe and healthy children and families, and promote community improvement and healthy neighborhoods.[18] In the past year, (2013) the Foundation contributed more than $3 million to various community organizations across the United States. Since inception, the Foundation has awarded $17.3 million to community health centers, service organizations, and local programs.[19]

Volunteerism

Amerigroup has a Community Volunteers program, created to recognize and support the contributions employees make in communities across the country and to inspire others to volunteer.[20] All Amerigroup employees receive a paid day off each year to do volunteer work in their communities.

Medicaid fraud

Former Executive Cleveland Tyson provided federal prosecutors with evidence that Amerigroup was systematically declining services to low-income pregnant women in Illinois from 2001 to 2003. Their contract with the state required that they enroll all eligible clients, but prosecutors submitted emails showing that Amerigroup had a policy of targeting healthy enrollees and specifically excluded pregnant women and others with expensive conditions.

In October 2006, a federal jury found Amerigroup liable for $48 million in damages, which was tripled by statute to $144 million. In March 2007, an additional fine of over $190 million was levied for 18,000 false claims. After appealing the judgments, Amerigroup agreed in July 2008 to settle the charges for $225 million. As a whistleblower, qui tam provisions entitled Tyson to $56 million of the settlement.[21] [22] [23]

Notes and References

  1. Web site: AMERIGROUP Corporation Company Information . February 22, 2013.
  2. Web site: Minemyer . Paige . 31 July 2023 . Elevance Health to rebrand Amerigroup plans as Wellpoint in 6 states . 11 March 2024 . Fierce Healthcare.
  3. Web site: 2023-09-28 . Across Texas, Amerigroup to be Renamed Wellpoint in January 2024 . 2024-03-11 . Yahoo Finance . en-US.
  4. Web site: Amerigroup IPO raises $75M - Nov. 5, 2001 . 2024-03-11 . money.cnn.com.
  5. Web site: Amerigroup IPO rises 23% on Nasdaq - Nov. 6, 2001 . 2024-03-11 . money.cnn.com.
  6. Web site: Company History . Amerigroup Corporation . February 22, 2013 . https://web.archive.org/web/20130126155011/http://www.amerigroup.com/about-amerigroup/company-history#2011 . January 26, 2013 . dead .
  7. News: New York Times. Reed. Abelson. July 9, 2012.
  8. Web site: Form 8-K for Anthem Inc filed 05/18/2022. U.S. Securities and Exchange Commission. May 18, 2022. June 28, 2022.
  9. Web site: June 5, 2020. Managed Medicaid Carrier Amerigroup Terminates Contract with Grays Harbor Community Hospital. live. https://web.archive.org/web/20200606160605/https://kbkw.com/managed-medicaid-carrier-amerigroup-terminates-contract-with-grays-harbor-community-hospital/ . June 6, 2020 . June 17, 2020. kbkw.
  10. Web site: Amerigroup . dead . https://web.archive.org/web/20130328031535/http://www.amerigroup.com/our-services/chip . March 28, 2013 .
  11. Web site: Amerigroup . dead . https://web.archive.org/web/20130328031535/http://www.amerigroup.com/our-services/chip . March 28, 2013 .
  12. Web site: Amerigroup .
  13. Web site: About TANF Program . US Department of Health and Human Services . dead . https://web.archive.org/web/20120314134457/http://www.acf.hhs.gov/programs/ofa/tanf/about.html . March 14, 2012 . February 22, 2013.
  14. Web site: Medicaid, CHIP and FamilyCare Eligibles . https://web.archive.org/web/20160304060040/http://www.wikinvest.com/stock/AMERIGROUP_(AGP)/Medicaid_Chip_Familycare_Eligibles . dead . March 4, 2016 . AGP-10k . February 22, 2013.
  15. Web site: Medicare Advantage (Part C) . The Official US Government Site for Medicare . dead . February 22, 2013 . https://web.archive.org/web/20120803033741/http://www.medicare.gov/navigation/medicare-basics/medicare-benefits/part-c.aspx?AspxAutoDetectCookieSupport=1 . August 3, 2012 .
  16. Web site: Amerigrooup . dead . https://web.archive.org/web/20130117230845/http://www.amerigroup.com/about-amerigroup/national-advisory-board . January 17, 2013 .
  17. Web site: NAB . https://archive.today/20130411023317/http://www.hispanicbusiness.com/2008/10/13/amerigroup_names_five_new_members_to.htm . dead . April 11, 2013 .
  18. News: Making a Difference: Amerigroup Promotes Culture of Caring . Amerigroup Foundation . The Business Journals . February 22, 2013.
  19. Web site: Amerigroup . dead . https://web.archive.org/web/20130318203944/http://www.amerigroup.com/about-amerigroup/amerigroup-foundation . March 18, 2013 .
  20. Web site: Volunteerism . Amerigroup Corporation . dead . February 22, 2013 . https://web.archive.org/web/20130118090121/http://www.amerigroup.com/about-amerigroup/volunteerism . January 18, 2013 .
  21. News: Bush. Rudolph. Jury finds HMO bias in signing patients. March 21, 2012. Chicago Tribune. October 31, 2006.
  22. AMERIGROUP TO END APPEAL AND PAY $225 MILLION TO UNITED STATES AND ILLINOIS TO SETTLE PREGNANCY DISCRIMINATION CASE. Illinois Attorney General . August 14, 2008. March 21, 2012.
  23. News: Kendall. Brent. Amerigroup to Pay $225 Million to Settle Case. March 21, 2012. Wall Street Journal. August 16, 2008.