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UnitedHealth to Offer New Medicare Advantage Plan in Bay Area (Revised)

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UnitedHealth Group Incorporated (UNH - Free Report) will offer a new Medicare Advantage Plan, named UnitedHealthcare Canopy Health Medicare Advantage plan, to more than 63,000 Medicare beneficiaries in Contra Costa, Alameda and San Francisco counties. This new co-branded plan in Bay Area will feature Canopy Health and is expected to be effective Jan 1, 2020.

Canopy Health’s affiliated members in the above-mentioned region will be able to gain access to a wide, comprehensive and advanced network of caregivers, leading to better health outcomes. Additionally, the new plan is expected to reduce overall expenses and enrich patient experience.

The combination of Canopy Health provider’s quality of care and the strength of UnitedHealthcare Medicare Advantage plan will surely lead to advanced healthcare at affordable rates. People will now have more choices in acquiring healthcare benefits.  Canopy Health is the perfect partner for this move as it already has an alliance with the company regarding the employer-sponsored health insurance.

This move is in line with the company’s constant efforts and commitment toward improving the quality of care provided to individuals. Its Medicare membership has also been increasing and currently caters to more than 3 million people in California including 1.2 million Medicare beneficiaries.

Medicare Advantage members grew over the past five years and currently comprise more than one-third of all Medicare beneficiaries. This is why most industry players are making efforts to boost their membership as well as the quality of care that they provide in this highly competitive market.

Shares of this Zacks Rank #3 (Hold) company have lost 14.4% in a year's time, narrower than its industry's decline of 14.7%.

Stocks to Consider

Investors interested in the same space can also take a look at some better-ranked stocks like Molina Healthcare, Inc. (MOH - Free Report) , Anthem, Inc. (ANTM - Free Report) and Humana Inc. (HUM - Free Report) .

Molina offers Medicaid-related solutions to meet the healthcare needs of low-income families and individuals. In the trailing four quarters, the company’s average beat was 66.9%. The company currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Humana works as a health and well-being company in the United States. The company pulled off average positive surprise of 7.8% in the last four quarters. Presently, it is also a Zacks #2 Ranked player.

Anthem provides network-based managed care health benefit plans to individuals, small and large groups; Medicaid; and Medicare markets. With a Zacks Rank #2 (Buy), the company managed to deliver an average beat of 4.6% in the last four quarters.

(We are reissuing this article to correct a mistake. The original article, issued on September 20, 2019, should no longer be relied upon.)