Medicaid terminates Univita contracts

Wednesday, July 29, 2015

MIRAMAR, Fla. – Florida Medicaid has terminated all of its managed care contracts with Univita, the agency announced late Tuesday afternoon.

As a result, Univita has stopped processing new prior authorization requests effective immediately, according to the Florida Agency for Health Care Administration.

Univita coordinates in-home care and other services, including home medical equipment and home infusion, for managed care organizations and other insurers through a network of contracted providers. 

Last year, Florida transitioned Medicaid beneficiaries to managed care and contracted with Univita to administer 10 of the 14 participating plans. HME providers expressed concerns that would create a monopoly and would create a conflict of interest, with Univita serving as both provider and administrator.

The private-equity backed Univita formed in 2008 and entered the HME market in 2010, when it acquired Davie-based Atenda Healthcare Solutions. In 2012, the company picked up a large share of the HME market in the state when it acquired Miami Lakes-based All-Med Services of Florida. At that time, Univita said it had 5 million patients across several states, including Tennessee, California, Minnesota, Indiana, Wisconsin and Massachusetts.

A year ago, Univita replaced CEO Jean Haynes with Michael Muchnicki.

This spring, the company launched several new programs, including an in-home wound care program.

In April, the company obtained a $40 million credit facility from Genstar Capital and a private lender to expand the number of plans it partners with.