The Morgan Stanley Healthcare Payors Index is having its worst day in eight months on news Ohio will not renew contracts to four current Medicaid providers: Molina Healthcare , Centene Corp., WellCare Health Plans and Amerigroup Corp. .
Ohio instead selected health plans of Aetna, UnitedHealth Group, and three private companies — CareSource, Meridian Health Plan, and Paramount Advantage — to run the state’s Medicaid programs effective Jan. 1, 2013.
MOH and CNC, two managed-care companies that collect a hefty portion of their revenue from Ohio, are hurting the most Monday, plunging even further after being downgraded to neutral from positive by Susquehanna.
