Fallon Community Health Plan reports 2008 financial results
Worcester, Mass., February 27, 2009―Fallon Community Health Plan (FCHP) today reported net income of $6.7 million on revenue of $1 billion for the fiscal year ending December 31, 2008, compared with net income of $15.1 million on revenue of $916.2 million in 2007. Net income includes investment income of $5.7 million and operating income of $1 million. For the fourth quarter, FCHP posted a net loss of $1.2 million, compared with net income of $10.3 million for the same quarter in 2007. Membership was 217,563 as of December 31, 2008, compared with 197,246 ending December 31, 2007.
“Our steady membership growth is a direct result of an organization-wide effort to ensure FCHP offers our customers the best value for their premium dollar,” said Charles Goheen, Executive Vice President and Chief Financial Officer, FCHP. “While we’re pleased with this growth, we’re also clearly focused on this country’s financial crisis and the widespread impact it continues to have on the local economy. We’re finding aggressive – but responsible – ways to lower our medical and administrative costs, while still maintaining the quality of care and services our members receive.”
FCHP’s major achievements during 2008 include:
Provider network expansion for both FCHP Direct Care and FCHP Select Care HMO products in Southeastern Massachusetts, adding the Signature Healthcare system, and several key physician groups and hospitals in the New Bedford and Plymouth areas.
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Expansion of Fallon Senior Plan™, our Medicare Advantage product, to include all of Hampden County.
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In partnership with the VNA Care Network & Hospice, FCHP announced the joint acquisition of Home Staff, LLC, a home supportive services agency that provides a variety of in-home services.
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The opening of two Summit ElderCare® locations. In Charlton, we expanded our presence by opening a second facility on the Overlook Masonic Health System Campus, and opened our second Worcester site on Grafton Street.
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Addition of ski lessons, lift tickets and season passes through the popular It Fits! benefit, and announced plans to increase the standard reimbursement to $400 for family contracts and $200 for individual contracts.
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Recognized by the Boston Business Journal as a Champion in Health Care in the employer category. FCHP was chosen for this recognition because of the example we set when it comes to supporting the health and well-being of our employees.
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In partnership with the Massachusetts School Nurse Organization, FCHP launched the Commit to Be Fit program at schools in Fitchburg, Lancaster and Springfield. The fitness and nutrition program aims to help and encourage students and their families to live healthier and more active lifestyles.
Lauren M. Petit
lauren.petit@fchp.org
About Fallon Community Health PlanFounded 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.