GAO Affirms TRICARE West Contract Award to UnitedHealthcare

  GAO Affirms TRICARE West Contract Award to UnitedHealthcare

Transition to UnitedHealth Military & Veterans Services for 2.9 million active
duty and retired military service members and their families will move forward

Business Wire

MINNETONKA, Minn. -- July 02, 2012

The Government Accountability Office today affirmed the Defense Department’s
award of the TRICARE Managed Care Support contract for the West region to
UnitedHealthcare, a UnitedHealth Group (NYSE: UNH) company.

UnitedHealthcare and the Defense Department will move forward on transitioning
TRICARE West beneficiaries to UnitedHealth Military & Veterans Services as the
region’s Managed Care Support contractor. The transition is scheduled to occur
in April 2013.

TRICARE West serves nearly 2.9 million active duty and retired military
service members and their families in Alaska, Arizona, California, Colorado,
Hawaii, Idaho, Iowa (excluding Rock Island Arsenal area), Kansas, Minnesota,
Missouri (excluding the St. Louis area), Montana, Nebraska, Nevada, New
Mexico, North Dakota, Oregon, South Dakota, portions of Texas (including El
Paso), Utah, Washington and Wyoming.

“UnitedHealth Military & Veterans Services is honored to be able to put our
expertise and experience to work on behalf of TRICARE West beneficiaries, and
we look forward to working with the Defense Department and the incumbent
contractor to ensure a smooth transition for service members, retirees and
their families,” said Lori C. McDougal, CEO of UnitedHealth Military &
Veterans Services. “We are committed to working with the Department of Defense
to ensure beneficiaries have access to cost-effective, quality and innovative

UnitedHealth Military & Veterans Services will provide contract and claims
processing, as well as management support including cost trend risk
management, fraud and abuse detection, and quality management services. The
contract includes a transition period and five one-year option periods for
health care operations.

In awarding the TRICARE West contract to UnitedHealthcare, the Defense
Department chose a private-sector partner who can take a more comprehensive
approach to the TRICARE program to get the best value for beneficiaries – one
that enhances the quality of health care for beneficiaries, and in doing so
improves medical outcomes while controlling costs.

UnitedHealthcare is the trusted health care partner of more than 35 million
Americans, with a track record of quality service:

  *No. 1 in claims processing accuracy: According to the American Medical
    Association’s ranking of the seven leading commercial health insurers in
    its 2012 Report Card
  *Most Admired Health Insurer: According to Fortune Magazine, for the last
    two years in a row

About UnitedHealthcare
UnitedHealthcare is dedicated to helping people nationwide live healthier
lives by simplifying the health care experience, meeting consumer health and
wellness needs, and sustaining trusted relationships with care providers. The
company offers the full spectrum of health benefit programs for individuals,
employers and Medicare and Medicaid beneficiaries, and contracts directly with
more than 650,000 physicians and care professionals and 5,000 hospitals
nationwide. UnitedHealthcare serves more than 38 million people and is one of
the businesses of UnitedHealth Group (NYSE: UNH), a diversified Fortune 50
health and well-being company.


UnitedHealth Group
Matt Stearns, 202-383-6434
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