Cigna Sells Medicare Business to Health Care Service Corporation for $3.7 Billion

Deal Includes Medicare Advantage, Supplemental Benefits, Part D Customers, and CareAllies Business; Expected to Close in Early 2025

Cigna has agreed to sell its Medicare business to Health Care Service Corporation for $3.7 billion, which includes Medicare Advantage, Supplemental Benefits, Part D customers, and the CareAllies business.
The deal will expand Health Care Service Corporation's product offerings, clinical programs, and geographic reach, according to the company's CEO, Maurice Smith.
Cigna's Medicare business covers over 3.6 million people, with 2.5 million of those on Medicare Part D plans.
As part of the agreement, Cigna's Evernorth Health Services unit will continue to provide pharmacy benefits for four years.
The deal is expected to close in the first quarter of 2025.