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Health Insurance Consolidation Raises Specter Of Layoffs

The probability of one or some-more mergers among health insurers such as Aetna, Anthem, Cigna, Humana and UnitedHealthcare has people wondering about a L word.

Layoffs.

Will they start in Greater Hartford? Would it be improved if a Connecticut-based insurer acquired a association formed in another state than if an out-of-state insurer acquired possibly of a locally headquartered insurers, definition Cigna or Aetna?

Is a Cigna-Aetna partnership a worst-case unfolding given both have domicile in a region, augmenting a contingency that layoffs would start here?

It’s unfit to envision with any certainty how many layoffs a partnership competence bring, or where they competence occur, contend experts who follow labor trends and a word industry. Likewise, they say, there’s no approach of meaningful definitively that partnership would have a best or misfortune probable outcome for Greater Hartford.

But a few things are certain, analysts and economists say: The health word attention will see converging soon, and merging insurers will demeanour to cut overlapping jobs.

“Usually, when there’s a merger, an acquisition, partial of a economics of that consolidative understanding is formed on shortening costs as a outcome of realizing efficiencies, or expelling redundancies, and a partial of that will mostly engage jobs,” pronounced Robert Hartwig, an economist and boss of a Insurance Information Institute, a property-casualty trade group. Hartwig publishes monthly information on word practice trends.

Any probable partnership — Anthem-Cigna; Aetna-Humana, or any other multiple — is utterly marketplace conjecture during this point, yet financial analysts who follow a attention determine some vast understanding is imminent. The companies concerned have all declined to comment, observant a intensity partnership is marketplace speculation.

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