Humana Drops After Ratings for Its Medicare Plans Decline
- Membership in plans rated 4 stars and higher fell in July
- Humana down 5.1%; Aetna, set to buy Humana, also falls
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Humana Inc., the health insurer planning to merge with Aetna Inc., fell the most in more than three months after seeing a sharp decline in government ratings of plans it offers under Medicare.
The percentage of Humana’s membership in plans rated four stars or higher dropped to about 37 percent, or 1.17 million members, in July from 78 percent, or 2.15 million, a year earlier, according to ratings published by the Centers for Medicare and Medicaid Services, or CMS, on Wednesday. The decline is mainly due to lower scores as a result of a recent CMS audit, Humana said in a statement.