Aetna Health Insurance stated in a press release on Monday that it “completed its acquisition of health information exchange technology company Medicity.”
The insurance giant based in Hartford, Connecticut acquired the tech company from Salt Lake City for $500 million. They specialize in developing communication systems between hospitals, so that doctors can coordinate care more effectively.
Medicity will continue to operate separately of Aetna Health Insurance and continue under previous leadership.
Aetna, the third largest health insurance company, trails only Wellpoint Inc. and UnitedHealth Group Inc. in their enrollment figures.
The insurance company has felt the repercussions of the health care bill passed less than a year ago, and Brenda Nagel of Aetna says, ““Insurance premiums will have the greatest impact. Health care costs are still rising. No one, as a nation, has addressed health care costs.”
Out of everyone though, large companies like Aetna suffered the least, as they had already been providing some of the services required by law under the new bill, such as preventative care for employees. Smaller companies, were hit the hardest, and have been struggling to meet all the new requirements.
After news of the acquisition became public, Aetna stock (AET) jumped $0.46.