Molina Healthcare, a public health insurance company headquartered in Long Beach, California, has completed the acquisition of My Choice Wisconsin. This nonprofit organization operates a nationwide program for adults with disabilities and seniors who require daily assistance.
The acquisition will allow Molina to oversee long-term care for the 40% of Wisconsin adults who receive services through state Medicaid programs. Long-term care includes different types of support, such as: B. Nursing and adult day care services to assist people with disabilities and frail older adults with their daily activities.
Molina will now oversee the long-term care of more than 15,000 people enrolled in Family Care, a state Medicaid program that covers caregivers and other needed supports so those people can stay in their homes instead of being moved to nursing homes .
While this acquisition has raised concerns among some senior and disability advocates in the state, who have expressed concerns about Molina’s ability to provide the same level of support as the previous organization, the acquisition is viewed as a strategic move for the company. Through its subsidiary The Management Group and the IRIS program, Molina already coordinates long-term care for an additional 19,000 people.
My Choice Wisconsin has been a profitable organization in recent years, reporting net income of $38.1 million in 2022. Molina acquired the organization for approximately $150 million after conducting a regulatory review to ensure compliance with contractual obligations and financial stability.
This acquisition follows Humana’s previous purchase of Inclusa, another Wisconsin-based nonprofit, further solidifying its management of the Family Care program in the state.