SAN JUAN, Puerto Rico, June 27, 2013 /PRNewswire/ -- Triple-S Management Corporation (NYSE: GTS), the leading managed care company in Puerto Rico, announced that its Triple-S Salud subsidiary has reached an agreement for a 12-month extension of its contract with the Puerto Rico Health Insurance Administration (ASES) to administer healthcare services for the Government's health insurance program known as MiSalud (Medicaid) .
The MiSalud program serves more than 1.4 million members in eight regions across Puerto Rico. Under the 12-month extension, which commences July 1, 2013, Triple-S Salud will receive a per-member per-month administrative fee for its services and will not bear the insurance risk of the program. It will continue providing these administrative services in the five regions currently contracted with ASES and add the three remaining regions to its offering. The three additional regions will be phased in over the coming months, with expected completion by October 1, 2013.
Ramon M. Ruiz-Comas, President and Chief Executive Officer of Triple-S Management commented, "We are pleased to have not only extended our administrative services only (ASO) contract with the Puerto Rican government, but also broadened its geography to include all eight regions of the MiSalud program. In line with our commitment to work hand-in-hand with the Government to reduce delivery costs of this vital program without affecting healthcare benefits, we have made some concession on our administrative fees as part of the negotiation. Serving this important patient population remains a key component of our longer-term strategy and our commitment to social responsibility is a value that has been deeply woven into the fabric of our organization."
Triple-S Management is currently evaluating the overall impact of the extension, geographic expansion and fee reduction of the MiSalud contract, in conjunction with other recent developments, and will provide a 2013 guidance update during its July 31, 2013 quarterly conference call.
About Triple-S Management CorporationTriple-S Management Corporation is an independent licensee of the Blue Cross Blue Shield Association. It is the leading player in the managed care industry in Puerto Rico. Triple-S Management also has the exclusive right to use the Blue Cross Blue Shield name and mark throughout Puerto Rico and the U.S. Virgin Islands. With more than 50 years of experience in the industry, Triple-S Management offers a broad portfolio of managed care and related products in the Commercial and Medicare Advantage markets under the Blue Cross Blue Shield marks. In addition to its managed care business, Triple-S Management provides non-Blue Cross Blue Shield branded life and property and casualty insurance in Puerto Rico.For more information about Triple-S Management, visit www.triplesmanagement.com or contact firstname.lastname@example.org. Forward-Looking Statements This document contains forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements include information about possible or assumed future sales, results of operations, developments, regulatory approvals or other circumstances. Sentences that include "believe", "expect", "plan", "intend", "estimate", "anticipate", "project", "may", "will", "shall", "should" and similar expressions, whether in the positive or negative, are intended to identify forward-looking statements. All forward-looking statements in this news release reflect management's current views about future events and are based on assumptions and subject to risks and uncertainties. Consequently, actual results may differ materially from those expressed here as a result of various factors, including all the risks discussed and identified in public filings with the U.S. Securities and Exchange Commission (SEC).