SEGMENT INFORMATION (Tables)

9 Months Ended

Sep. 30, 2019

Segment Reporting [Abstract]

Schedule of Segment Results

Our segment results were as follows for the three and nine months ended September 30, 2019 and 2018:

	Retail		Group and Specialty		Healthcare Services		Eliminations/ Corporate			Consolidated
Three months ended September 30, 2019	(in millions)
External revenues
Premiums:
Individual Medicare Advantage	$	10,752	$	—	$	—	$	—		$	10,752
Group Medicare Advantage	1,609		—		—		—			1,609
Medicare stand-alone PDP	781		—		—		—			781
Total Medicare	13,142		—		—		—			13,142
Fully-insured	150		1,278		—		—			1,428
Specialty	—		400		—		—			400
Medicaid and other	742		—		—		—			742
Total premiums	14,034		1,678		—		—			15,712
Services revenue:
Provider	—		—		136		—			136
ASO and other	4		200		—		—			204
Pharmacy	—		—		53		—			53
Total services revenue	4		200		189		—			393
Total external revenues	14,038		1,878		189		—			16,105
Intersegment revenues
Services	—		4		4,654		(4,658		)	—
Products	—		—		1,759		(1,759		)	—
Total intersegment revenues	—		4		6,413		(6,417		)	—
Investment income	50		7		—		79			136
Total revenues	14,088		1,889		6,602		(6,338		)	16,241
Operating expenses:
Benefits	12,050		1,448		—		(141		)	13,357
Operating costs	1,310		413		6,348		(6,182		)	1,889
Depreciation and amortization	89		24		43		(29		)	127
Total operating expenses	13,449		1,885		6,391		(6,352		)	15,373
Income from operations	639		4		211		14			868
Interest expense	—		—		—		62			62
Other income, net	—		—		—		(82		)	(82		)
Income before income taxes and equity in net earnings	639		4		211		34			888
Equity in net earnings of Kindred at Home	—		—		1		—			1
Segment earnings	$	639	$	4	$	212	$	34		$	889

	Retail		Group and Specialty		Healthcare Services		Individual Commercial			Other Businesses		Eliminations/ Corporate			Consolidated
	(in millions)
Three months ended September 30, 2018
External revenues
Premiums:
Individual Medicare Advantage	$	8,912	$	—	$	—	$	—		$	—	$	—		$	8,912
Group Medicare Advantage	1,542		—		—		—			—		—			1,542
Medicare stand-alone PDP	893		—		—		—			—		—			893
Total Medicare	11,347		—		—		—			—		—			11,347
Fully-insured	129		1,345		—		1			—		—			1,475
Specialty	—		325		—		—			—		—			325
Medicaid and other	561		—		—		—			4		—			565
Total premiums	12,037		1,670		—		1			4		—			13,712
Services revenue:
Provider	—		—		113		—			—		—			113
ASO and other	1		215		—		—			—		—			216
Pharmacy	—		—		52		—			—		—			52
Total services revenue	1		215		165		—			—		—			381
Total external revenues	12,038		1,885		165		1			4		—			14,093
Intersegment revenues
Services	—		4		4,214		—			—		(4,218		)	—
Products	—		—		1,576		—			—		(1,576		)	—
Total intersegment revenues	—		4		5,790		—			—		(5,794		)	—
Investment income	35		5		11		—			10		52			113
Total revenues	12,073		1,894		5,966		1			14		(5,742		)	14,206
Operating expenses:
Benefits	10,020		1,347		—		(4		)	12		(132		)	11,243
Operating costs	1,352		445		5,720		—			2		(5,619		)	1,900
Depreciation and amortization	67		21		40		—			—		(26		)	102
Total operating expenses	11,439		1,813		5,760		(4		)	14		(5,777		)	13,245
Income from operations	634		81		206		5			—		35			961
Gain on sale of business	—		—		—		—			—		(4		)	(4		)
Interest expense	—		—		—		—			—		53			53
Other expense, net	—		—		—		—			—		11			11
Income (loss) before income taxes and equity in net earnings	634		81		206		5			—		(25		)	901
Equity in net earnings of Kindred at Home	—		—		9		—			—		—			9
Segment earnings (loss)	$	634	$	81	$	215	$	5		$	—	$	(25	)	$	910

	Retail		Group and Specialty		Healthcare Services		Eliminations/ Corporate			Consolidated
	(in millions)
Nine months ended September 30, 2019
External revenues
Premiums:
Individual Medicare Advantage	$	32,254	$	—	$	—	$	—		$	32,254
Group Medicare Advantage	4,867		—		—		—			4,867
Medicare stand-alone PDP	2,408		—		—		—			2,408
Total Medicare	39,529		—		—		—			39,529
Fully-insured	434		3,873		—		—			4,307
Specialty	—		1,160		—		—			1,160
Medicaid and other	2,143		—		—		—			2,143
Total premiums	42,106		5,033		—		—			47,139
Services revenue:
Provider	—		—		367		—			367
ASO and other	14		587		—		—			601
Pharmacy	—		—		135		—			135
Total services revenue	14		587		502		—			1,103
Total external revenues	42,120		5,620		502		—			48,242
Intersegment revenues
Services	—		13		13,456		(13,469		)	—
Products	—		—		5,128		(5,128		)	—
Total intersegment revenues	—		13		18,584		(18,597		)	—
Investment income	139		17		1		194			351
Total revenues	42,259		5,650		19,087		(18,403		)	48,593
Operating expenses:
Benefits	36,396		4,177		—		(405		)	40,168
Operating costs	3,664		1,232		18,371		(18,015		)	5,252
Depreciation and amortization	239		67		121		(84		)	343
Total operating expenses	40,299		5,476		18,492		(18,504		)	45,763
Income from operations	1,960		174		595		101			2,830
Interest expense	—		—		—		184			184
Other income, net	—		—		—		(217		)	(217		)
Income before income taxes and equity in net earnings	1,960		174		595		134			2,863
Equity in net earnings of Kindred at Home	—		—		16		—			16
Segment earnings	$	1,960	$	174	$	611	$	134		$	2,879

	Retail		Group and Specialty		Healthcare Services		Individual Commercial			Other Businesses		Eliminations/ Corporate			Consolidated
	(in millions)
Nine months ended September 30, 2018
External Revenues
Premiums:
Individual Medicare Advantage	$	26,790	$	—	$	—	$	—		$	—	$	—		$	26,790
Group Medicare Advantage	4,575		—		—		—			—		—			4,575
Medicare stand-alone PDP	2,703		—		—		—			—		—			2,703
Total Medicare	34,068		—		—		—			—		—			34,068
Fully-insured	379		4,083		—		6			—		—			4,468
Specialty	—		1,014		—		—			—		—			1,014
Medicaid and other	1,664		—		—		—			22		—			1,686
Total premiums	36,111		5,097		—		6			22		—			41,236
Services revenue:
Provider	—		—		290		—			—		—			290
ASO and other	6		642		—		—			4		—			652
Pharmacy	—		—		148		—			—		—			148
Total services revenue	6		642		438		—			4		—			1,090
Total external revenues	36,117		5,739		438		6			26		—			42,326
Intersegment revenues
Services	—		13		12,426		—			—		(12,439		)	—
Products	—		—		4,722		—			—		(4,722		)	—
Total intersegment revenues	—		13		17,148		—			—		(17,161		)	—
Investment income	102		18		34		—			110		154			418
Total revenues	36,219		5,770		17,620		6			136		(17,007		)	42,744
Operating expenses:
Benefits	30,842		3,977		—		(73		)	77		(374		)	34,449
Operating costs	3,784		1,355		16,910		3			6		(16,648		)	5,410
Depreciation and amortization	199		66		125		—			—		(88		)	302
Total operating expenses	34,825		5,398		17,035		(70		)	83		(17,110		)	40,161
Income from operations	1,394		372		585		76			53		103			2,583
Loss on sale of business	—		—		—		—			—		786			786
Interest expense	—		—		—		—			—		159			159
Other expense, net	—		—		—		—			—		11			11
Income (loss) before income taxes and equity in net earnings	1,394		372		585		76			53		(853		)	1,627
Equity in net earnings of Kindred at Home	—		—		9		—			—		—			9
Segment earnings (loss)	$	1,394	$	372	$	594	$	76		$	53	$	(853	)	$	1,636