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Segment Information
 9 Months Ended
Sep. 30, 2013
Segment Reporting [Abstract]  
Segment Information
Segment Information
On May 20, 2013, we announced certain organizational and executive leadership changes to align with how our new Chief Executive Officer is managing the Company. Beginning with the three months ended June 30, 2013, our organizational structure is comprised of three reportable segments: Commercial and Specialty Business, Government Business and Other.
Our Commercial and Specialty Business segment includes Local Group, National Accounts, Individual and Specialty businesses. Business units in the Commercial and Specialty Business segment offer fully-insured products; provide a broad array of managed care services to self-funded customers including claims processing, underwriting, stop loss insurance, actuarial services, provider network access, medical cost management, disease management, wellness programs and other administrative services; provide an array of specialty and other insurance products and services such as behavioral health benefit services, dental, vision, life and disability insurance benefits, radiology benefit management, analytics-driven personal health care guidance and long-term care insurance; and include the operations of our 1-800 CONTACTS business.
Our Government Business segment includes Medicare and Medicaid businesses, National Government Services and services provided to the Federal Government in connection with FEP. Medicare business includes services such as Medicare Advantage, Medicare Part D, and Medicare Supplement, while Medicaid business includes our managed care alternatives through publicly funded health care programs, including Medicaid, state Children’s Health Insurance Programs and Medicaid expansion programs. National Government Services acts as a Medicare contractor in several regions across the nation.
Our Other segment includes other businesses that do not meet the quantitative thresholds for an operating segment as defined by FASB guidance, as well as corporate expenses not allocated to the other reportable segments.
We define operating revenues to include premium income, administrative fees and other revenue. Operating revenues are derived from premiums and fees received primarily from the sale and administration of health benefit products, as well as sales of ocular products by 1-800 CONTACTS. Operating gain is calculated as total operating revenue less benefit expense; selling, general and administrative expense; and costs of products.
Financial data by reportable segment for the three and nine months ended September 30, 2013 and 2012 is as follows (amounts reported for prior periods have been reclassified to conform to our new segment reporting structure):
 
Commercial
and Specialty
Business
 
Government
Business
 
Other
 
Total
Three Months Ended September 30, 2013:
 
 
 
 
 
 
 
Operating revenue from external customers
$
9,789.1

 
$
7,931.1

 
$
12.8

 
$
17,733.0

Operating gain (loss)
688.2

 
326.5

 
(5.3
)
 
1,009.4

Three Months Ended September 30, 2012:
 
 
 
 
 
 
 
Operating revenue from external customers
$
9,751.2

 
$
5,374.1

 
$
8.4

 
$
15,133.7

Operating gain (loss)
852.3

 
169.0

 
(17.5
)
 
1,003.8

Nine Months Ended September 30, 2013:
 
 
 
 
 
 
 
Operating revenue from external customers
$
29,358.7

 
$
23,493.5

 
$
24.3

 
$
52,876.5

Operating gain (loss)
2,869.9

 
757.6

 
(18.8
)
 
3,608.7

Nine Months Ended September 30, 2012:
 
 
 
 
 
 
 
Operating revenue from external customers
$
29,391.7

 
$
16,039.2

 
$
26.3

 
$
45,457.2

Operating gain (loss)
2,863.2

 
381.8

 
(36.9
)
 
3,208.1


A reconciliation of reportable segments operating revenues to total revenues reported in the consolidated statements of income for the three and nine months ended September 30, 2013 and 2012 is as follows:
 
Three Months Ended 
 September 30
 
Nine Months Ended 
 September 30
 
2013
 
2012
 
2013
 
2012
Reportable segments operating revenues
$
17,733.0

 
$
15,133.7

 
$
52,876.5

 
$
45,457.2

Net investment income
167.6

 
168.6

 
482.8

 
507.0

Net realized gains on investments
95.4

 
54.6

 
166.4

 
232.0

Other-than-temporary impairment losses recognized in income
(26.2
)
 
(3.8
)
 
(73.1
)
 
(20.6
)
Total revenues
$
17,969.8

 
$
15,353.1

 
$
53,452.6

 
$
46,175.6


A reconciliation of reportable segments operating gain to income before income tax expense included in the consolidated statements of income for the three and nine months ended September 30, 2013 and 2012 is as follows:
 
Three Months Ended 
 September 30
 
Nine Months Ended 
 September 30
 
2013
 
2012
 
2013
 
2012
Reportable segments operating gain
$
1,009.4

 
$
1,003.8

 
$
3,608.7

 
$
3,208.1

Net investment income
167.6

 
168.6

 
482.8

 
507.0

Net realized gains on investments
95.4

 
54.6

 
166.4

 
232.0

Other-than-temporary impairment losses recognized in income
(26.2
)
 
(3.8
)
 
(73.1
)
 
(20.6
)
Interest expense
(151.5
)
 
(133.6
)
 
(456.9
)
 
(360.3
)
Loss on extinguishment of debt
(145.3
)
 
—

 
(145.3
)
 
—

Amortization of other intangible assets
(66.6
)
 
(63.9
)
 
(202.2
)
 
(182.1
)
Income before income tax expense
$
882.8

 
$
1,025.7

 
$
3,380.4

 
$
3,384.1