A.M. Best Places Ratings of Subsidiaries of Health Net of the Northeast, Inc. Under Review With Positive Implications.OLDWICK, N.J. -- A.M. Best Co. has placed the financial strength ratings of B+ (Good) and issuer credit ratings of "bbb-" of the subsidiaries of Health Net of the Northeast, Inc., which is a subsidiary of Health Net, Inc. (Health Net) (Delaware Delaware, state, United States Delaware (dĕl`əwâr, –wər), one of the Middle Atlantic states of the United States, the country's second smallest state (after Rhode Island). ) [NYSE NYSE See: New York Stock Exchange : HNT HNT Hostage Negotiation Team ], under review with positive implications, as UnitedHealthcare, Inc. (UnitedHealthcare) (Delaware), a subsidiary of the ultimate parent, UnitedHealth Group UnitedHealth Group Incorporated NYSE: UNH is a managed health care company. It is the parent of United Healthcare, one of the largest health insurers in the U.S. It was created in 1977, as UnitedHealthCare Corporation (it renamed itself in 1998), but traces its origin to a , Inc. (UnitedHealth Group) (Minnetonka Minnetonka (mĭnĭtŏng`kə), city (1990 pop. 48,370), Hennepin co., SE Minn., a residential suburb of Minneapolis, near Lake Minnetonka; inc. 1956. There is diversified manufacturing. , MN), has agreed to acquire these entities. The entities included in this transaction are Health Net of Connecticut Connecticut, state, United States Connecticut (kənĕt`ĭkət), southernmost of the New England states of the NE United States. It is bordered by Massachusetts (N), Rhode Island (E), Long Island Sound (S), and New York (W). , Inc., Health Net of New Jersey, Inc., Health Net of New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of , Inc., and Health Net Insurance of New York, Inc. The remaining ratings for Health Net and its other subsidiaries are unchanged. The under review with positive implications reflects the financial strength of UnitedHealth Group, compared with Health Net. Health Net will work with UnitedHealthcare to renew the customers currently enrolled in the northeast plans as they reach their annual renewal dates. Additionally, Health Net has entered into an agreement with UnitedHealthcare to service these customers through a post closing transition period. The transaction is subject to regulatory approvals and is expected to close by July 2010. Should the transaction not be completed, the ratings of the subsidiaries of Health Net of the Northeast, Inc. would likely be downgraded due to the lack of strategic importance to Health Net. For Best's Credit Ratings, an overview of the rating process and rating methodologies, please visit www.ambest.com/ratings. The principal methodologies used in determining these ratings, including any additional methodologies and factors that may have been considered, can be found at www.ambest.com/ratings/methodology. Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers. For more information, visit www.ambest.com. |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion