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Cigna, Priority Health Team Up to Offer Improved Healthcare

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Cigna Corporation (CI - Free Report) recently partnered with Priority Health — the second largest health plan in the state of Michigan. Priority Health, which provides a diverse suite of health care plans for employer groups and individuals, comprises strong network of 97% of primary care physicians in the state.

This is not the first time that Cigna is working with Priority Health, which even offers health coverage schemes under Medicare and Medicaid plans. Notably, both the companies have been sharing a working relationship since 2018.

On one hand, the extended collaboration will enable Cigna’s clients to access the wide network of health care providers and high-quality specialists of Priority Health in Michigan. On the other hand, out-of-state members of Priority Health can access Cigna’s diverse range of health care services. The abovementioned accessibility will commence from Jan 1 of next year.

By harnessing the potential capabilities of both the partners, this extended alliancebacked by streamlined networks intends to provide comprehensive health care coverage at reasonable costs. With the aid of their vast networks, both the partners will also work closely with Upper Peninsula Health Plan (UPHP) in order to provide benefits to the Upper Peninsula region in Michigan. We believe this extended partnership is basically aimed at providing improved health outcomesfor the Michigan community and out-of-state members of Priority Health.

Shares of this Zacks Rank #3 (Hold) healthcare provider have gained 18.7% in a year compared with the industry’s growth of 7.4%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Notably,Cigna has teamed up with several healthcare systems for bolstering partner networks in a bid to serve several regions in the United States. Last week, it collaborated with Huntsville Hospital Health System, which is the second largest healthcare facility in Alabama.Last month, it collaborated with MultiCare Health System and Banner Health. Cigna’s agreements with Parkview Health, Houston Methodist and Crozer-Keystone Health System are some other notable ones made this year. These initiatives not only highlight the company’s efforts to tap prevailing prospects across several regions but also help in strengthening presence across the United States.

Furthermore, this company is well poised for growth considering the growing demand for telehealth services amid the COVID-19 pandemic. It has been constantly expanding its digital services suite, which has enabled the homebound American populace to seek medical help virtually through the adoption of telehealth services. Enhanced digital services and efficient networks with several healthcare systems have contributed to the company’s top line, which has witnessed a five-year (2014-2019) CAGR of 34.5%.

Among other stocks in the medical space, Teladoc Health Inc. (TDOC - Free Report) is a niche player in the telehealth service industry with wide offerings and international reach. Other companies, namely Magellan Health, Inc. and Humana Inc. (HUM - Free Report) have also developed telehealth services.

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Humana Inc. (HUM) - free report >>

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Teladoc Health, Inc. (TDOC) - free report >>

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