United Healthcare 2012 Annual Report Download - page 11

Download and view the complete annual report

Please find page 11 of the 2012 United Healthcare annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 128

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128

Consumer Solutions. Consumer Solutions includes consumer and marketing capabilities, such as distribution
and financial services.
• Distribution: Connextions is a growth, retention and service solutions company meeting consumer
distribution needs in the health care market. Through a combination of technology, campaign management
and customer service, Connextions has developed a consumer relationship management and sales
distribution platform. Services offered include call center support, software, data analysis, certified
insurance brokers and trained nurses, which allow health care payers and providers to acquire, retain,
schedule, refer and manage large populations of individual health care consumers. Connextions is also an
enabler of health insurance exchange solutions, with private exchange business today.
• Financial Services: Dedicated solely to providing financial solutions for the health care market,
OptumHealth Financial Services helps organizations and individuals optimize their health care finances. As
a leading provider of consumer health care accounts (e.g., HSAs, flexible spending accounts),
OptumHealth’s tax-favored accounts enable individuals to save money today and build health savings for
the future. Organizations rely upon OptumHealth to manage and improve their cash flows through turnkey
electronic payment solutions (e.g., remittance advices, funds transfers), health care-related lending and
credit (e.g., financing of care provider medical equipment acquisitions) and financial risk protection for
third party payers and self-funded employers (e.g., comprehensive stop loss insurance coverage). Financial
services includes Optum Bank. As of December 31, 2012, Financial Services had $1.8 billion in customer
assets under management and during 2012 processed $66 billion in medical payments to physicians and
other health care providers.
OptumInsight
OptumInsight is a health care information, technology, operational services and consulting company providing
software and information products, advisory consulting services, and business process outsourcing services and
support to participants in the health care industry. Hospitals, physicians, commercial health plans, government
agencies, life sciences companies and other organizations that comprise the health care system work with
OptumInsight to reduce costs, meet compliance mandates, improve clinical performance and adapt to the
changing health system landscape. As of December 31, 2012, OptumInsight’s products and services are used by
four out of five hospitals, tens of thousands of physician practices and other health care facilities, approximately
300 health plans, nearly 400 global life sciences companies, and many government agencies, as well as other
UnitedHealth Group businesses.
Many of OptumInsight’s software and information products, advisory consulting arrangements, and outsourcing
contracts are performed over an extended period, often several years. OptumInsight maintains an order backlog
to track unearned revenues under these long-term arrangements. The backlog consists of estimated revenue from
signed contracts, other legally binding agreements and anticipated contract renewals based on historical
experience that either have not started but are anticipated to begin in the near future, or are in process and have
not been completed. OptumInsight’s aggregate backlog at December 31, 2012 was $4.6 billion, of which
$2.7 billion is expected to be realized within the next 12 months. This includes $1.0 billion related
to intersegment agreements, all of which are included in the current portion of the backlog. OptumInsight cannot
provide any assurance that it will be able to realize all of the revenues included in backlog due to uncertainty
regarding the timing and scope of services, the potential for cancellation, non-renewal, or early termination of
service arrangements. OptumInsight’s aggregate backlog at December 31, 2011 was $4.0 billion.
OptumInsight’s products and services are sold primarily through a direct sales force. OptumInsight’s products
are also supported and distributed through an array of alliance and business partnerships with other technology
vendors, who integrate and interface its products with their applications.
OptumInsight’s technology products and services solutions are offered through four integrated market groups.
These market groups are care providers (e.g., physician practices and hospitals), commercial payers,
governments and life sciences.
9