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The under review with positive implications reflects the financial strength of UnitedHealth Group, compared with Health Net.
Health Net will work with UnitedHealthcare to renew the customers currently enrolled in the northeast plans as they reach their annual renewal dates. Additionally, Health Net has entered into an agreement with UnitedHealthcare to service these customers through a post closing transition period.
The transaction is subject to regulatory approvals and is expected to close by July 2010. Should the transaction not be completed, the ratings of the subsidiaries of Health Net of the Northeast, Inc. would likely be downgraded due to the lack of strategic importance to Health Net.
For Best's Credit Ratings, an overview of the rating process and rating methodologies, please visit www.ambest.com/ratings.
The principal methodologies used in determining these ratings, including any additional methodologies and factors that may have been considered, can be found at www.ambest.com/ratings/methodology.
Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers. For more information, visit www.ambest.com.
SOURCE: A.M. Best Co.
A.M. Best Co. Analysts Wayne Kaminski, 908-439-2200, ext. 5061 wayne.kaminski@ambest.com or Sally Rosen, 908-439-2200, ext. 5280 sally.rosen@ambest.com or Public Relations Jim Peavy, 908-439-2200, ext. 5644 james.peavy@ambest.com or Rachelle Morrow, 908-439-2200, ext. 5378 rachelle.morrow@ambest.com
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