Humana Inc. giant intends to buy Peoria-based health insurer OSF HealthPlans for about $90 million in cash, distributing its health insurance offerings in central and northern Illinois.
The deal, which still faces regulatory approvals, will add about 78,000 health plan members to Humana's current total in Illinois of about 450,000. Humana will remain the third largest health insurer in Illinois behind Blue Cross and Blue Shield of Illinois and UnitedHealth Group.
The deal means OSF HealthPlans parent, hospital operator OSF Healthcare will be exiting the health insurance business, reflecting a trend of the last several years of providers of medical-care to focus on their core business of providing rather than paying for medical-care service.
Humana Inc., founded in 1961 in Louisville, Kentucky, is a Fortune 500 company that markets and administers health benefit consumer services. With a customer base of over 11.5 million in the United States, the company is the largest Fortune 500 company headquartered in the Commonwealth of Kentucky, with a market cap of over $13 billion dollars and $25.2 billion in revenue.
Humana employs over 26,000 "associates" nationwide. Humana markets its health benefit consumer services in all 50 states, D.C., Puerto Rico and has international business interests in Western Europe.