Louisville-based health insurer Humana announced Monday that its military health care subsidiary has been told it will not receive a lucrative federal government contract.
The company had been providing managed care services to the Department of Defense under a program called TRICARE. The contract expires March 31, 2010.
"Humana Military is disappointed with the decision by the Department of Defense and looks forward to obtaining further clarity via a debriefing on the bidding process," Dave Baker, president and chief executive of Humana Military, said in a statement. "Our company will evaluate its strategic options with respect to the government's decision, including protesting the award, and will act expeditiously to best position Humana for continued success."
In a news release, the company said it cannot yet determine "what impact, if any, the loss of the TRICARE contract may have upon its earnings."