Delivery alert

There may be an issue with the delivery of your newspaper. This alert will expire at NaN. Click here for more info.

Recover password

Molina getting Lovelace Medicaid patients

ALBUQUERQUE, N.M. — Molina Healthcare of New Mexico will become the state’s largest Medicaid managed care company Aug. 1 when it assumes the Lovelace Community Health Plan’s Medicaid managed care contract with the state

Molina Healthcare Inc. announced Wednesday that it plans to acquire Lovelace Community Health Plan's Medicaid patients. Journal file photo)

Molina Healthcare Inc. announced Wednesday that it plans to acquire Lovelace Community Health Plan’s Medicaid patients. (Journal file photo)

Human Services Department.

Molina and Lovelace, a subsidiary of Lovelace Health System, announced Wednesday that they have a deal to transfer Lovelace’s 84,000 Medicaid members to Molina, which serves 91,000 Medicaid members. The combined 175,000 members will put Molina ahead of Presbyterian Healthcare, which has 167,000 Medicaid members.

Presbyterian also insures more than 200,000 commercial and Medicare customers.

Terms of the transaction were not disclosed, and neither Molina nor Lovelace would elaborate on a prepared statement they issued. The statement does not say what will happen to Lovelace employees who serve Medicaid members.

Lovelace lost a bid to provide Medicaid managed care under a new $4 billion state contract that takes effect Jan. 1. HSD chose Molina, Presbyterian, Blue Cross and Blue Shield, and UnitedHealthcare Community Health Plan of New Mexico to manage Medicaid care for an estimated 700,000 people.

This includes several thousand adults who will become eligible for Medicaid for the first time, thanks to the federal Affordable Care Act. Medicaid plan members will choose which plan to join when the new contract, known as Centennial Care, takes effect.

Lovelace Health System CEO Ron Stern said his company wanted to assure its Medicaid members continuity of care after the new contract begins.

“This partnership will provide high quality care for our Medicaid members without disruption in service or benefits,” Stern said. “These members will continue to have access to Lovelace providers, medical staff, Lovelace Retail Pharmacies and Lovelace’s network of hospitals even after Centennial Care takes effect in 2014.”