Fallon Community Health Plan reports first quarter financials
Worcester, Mass., May 15, 2009—Fallon Community Health Plan (FCHP) today reported net income of $976,163 on revenue of $269 million for the first quarter, ending March 31, 2009. Net income includes investment income of $2.2 million and an operating loss of $1.3 million. For the same quarter last year, FCHP posted net income of $1.1 million on revenue of $244 million. Net income included investment income of $3.4 million and an operating loss of $2.3 million. Membership was 223,444 as of March 31, 2009, compared to 201,275 for the same quarter last year.
“Our 10% membership growth is, once again, a direct result of our service area and provider network expansions and also our ability to offer businesses and consumers cost-effective health insurance solutions,” said Charles Goheen, Executive Vice President and Chief Financial Officer, FCHP. “Financially, like everyone, we’re monitoring economic conditions and have taken steps to reduce our administrative costs. While more than 90 percent of our premium revenue was spent on medical expenses during the first quarter, it’s important that we continue to maintain strong cost controls so that our members receive the greatest value for their premium dollar.”
In the first quarter, FCHP expanded the network of its popular Select Care HMO plan to include additional provider groups in the Merrimack Valley and North Shore areas of Massachusetts. FCHP also announced its expansion into southern New
Hampshire, which will give Massachusetts-based companies more choice and greater access.
In an expansion of its cost-effective Direct Care HMO plan, FCHP announced contracts with Signature Healthcare Systems in Brockton and Bridgewater.
Lauren M. Petit
lauren.petit@fchp.org
About Fallon Community Health Plan
Founded in 1977, Fallon Community Health Plan is a nationally recognized, not-for-profit health care services organization. From traditional health insurance products available throughout Massachusetts for all populations, to innovative health care programs and services for independent seniors, FCHP supports the diverse and changing needs of all those it serves. FCHP has consistently ranked among the nation’s top health plans, and is the only health plan in Massachusetts to have been awarded “Excellent” Accreditation by the National Committee for Quality Assurance for its HMO, Medicare Advantage and Medicaid products.