Medicare RAC, benefits coordinator merge for $400M

New York-based HMS Holdings has reached terms to acquire Las Vegas-based HealthDataInsights (HDI) for about $400 million, the former announced yesterday. HDI, the Medicare Recovery Audit Contractor (RAC) firm for Region D and the exclusive auditor for 17 states and three territories, reviewed more than $300 billion in claims last year. "The HMS/HDI combination will create the nation's premier provider of improper payment identification services for Federal, State, and commercial health benefit programs," HMS CEO Bill Lucia said in a statement. The deal consists of $384 million in cash, with the remainder in unvested options.

Suggested Articles

An ACA public option could lead to lower premiums for commercial plans by sparking more competition, an analysis found.

Centene Corporation posted $95 million in profit for the third quarter of 2019, which skyrocketed from $19 million in the third quarter of 2018.

A KHN investigation found that manufacturers, hospitals, doctors and some patient advocates have put marketing muscle behind 3D mammograms.