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SEGMENT INFORMATION
 12 Months Ended
Dec. 31, 2020
Segment Reporting [Abstract]  
SEGMENT INFORMATION SEGMENT INFORMATION
We manage our business with three reportable segments: Retail, Group and Specialty, and Healthcare Services. Beginning January 1, 2018, we exited the individual commercial fully-insured medical health insurance business, as well as certain other business in 2018, and therefore no longer report separately the Individual Commercial segment and the Other Businesses category in the current year. Previously, the Other Businesses category included businesses that were not individually reportable because they did not meet the quantitative thresholds required by generally accepted accounting principles, primarily our closed-block of commercial long-term care insurance policies which were sold in 2018. The reportable segments are based on a combination of the type of health plan customer and adjacent businesses centered on well-being solutions for our health plans and other customers, as described below. These segment groupings are consistent with information used by our Chief Executive Officer, the Chief Operating Decision Maker, to assess performance and allocate resources.
The Retail segment consists of Medicare benefits, marketed to individuals or directly via group Medicare accounts. In addition, the Retail segment also includes our contract with CMS to administer the Limited Income Newly Eligible Transition, or LI-NET, prescription drug plan program and contracts with various states to provide Medicaid, dual eligible, and Long-Term Support Services benefits, which we refer to collectively as our state-based contracts. The Group and Specialty segment consists of employer group commercial fully-insured medical and specialty health insurance benefits marketed to individuals and employer groups, including dental, vision, and other supplemental health benefits, as well as administrative services only, or ASO products. In addition, our Group and Specialty segment includes our military services business, primarily our TRICARE T2017 East Region contract. The Healthcare Services segment includes services offered to our health plan members as well as to third parties, including pharmacy solutions, provider services, and clinical care service, such as home health and other services and capabilities to promote wellness and advance population health, including our non-consolidating minority investment in Kindred at Home and the strategic partnership with WCAS to develop and operate senior-focused, payor-agnostic, primary care centers.
Our Healthcare Services intersegment revenues primarily relate to managing prescription drug coverage for members of our other segments through Humana Pharmacy Solutions®, or HPS, and includes the operations of Humana Pharmacy, Inc., our mail order pharmacy business. These revenues consist of the prescription price (ingredient cost plus dispensing fee), including the portion to be settled with the member (co-share) or with the government (subsidies), plus any associated administrative fees. Services revenues related to the distribution of prescriptions by third party retail pharmacies in our networks are recognized when the claim is processed and product revenues from dispensing prescriptions from our mail order pharmacies are recorded when the prescription or product is shipped. Our pharmacy operations, which are responsible for designing pharmacy benefits, including defining member co-share responsibilities, determining formulary listings, contracting with retail pharmacies, confirming member eligibility, reviewing drug utilization, and processing claims, act as a principal in the arrangement on behalf of members in our other segments. As principal, our Healthcare Services segment reports revenues on a gross basis, including co-share amounts from members collected by third party retail pharmacies at the point of service.
In addition, our Healthcare Services intersegment revenues include revenues earned by certain owned providers derived from risk-based and non-risk-based managed care agreements with our health plans. Under risk based agreements, the provider receives a monthly capitated fee that varies depending on the demographics and health status of the member, for each member assigned to these owned providers by our health plans. The owned provider assumes the economic risk of funding the assigned members’ healthcare services. Under non risk-based agreements, our health plans retain the economic risk of funding the assigned members' healthcare services. Our Healthcare Services segment reports provider services revenues associated with risk-based agreements on a gross basis, whereby capitation fee revenue is recognized in the period in which the assigned members are entitled to receive healthcare services. Provider services revenues associated with non-risk-based agreements are presented net of associated healthcare costs.
We present our consolidated results of operations from the perspective of the health plans. As a result, the cost of providing benefits to our members, whether provided via a third party provider or internally through a stand-alone subsidiary, is classified as benefits expense and excludes the portion of the cost for which the health plans do not bear responsibility, including member co-share amounts and government subsidies of $16.5 billion in 2020, $14.9 billion in 2019, and $13.4 billion in 2018. In addition, depreciation and amortization expense associated with certain businesses in our Healthcare Services segment delivering benefits to our members, primarily associated with our provider services and pharmacy operations, are included with benefits expense. The amount of this expense was $127 million in 2020, $117 million in 2019, and $129 million in 2018.
Other than those described previously, the accounting policies of each segment are the same and are described in Note 2. Transactions between reportable segments primarily consist of sales of services rendered by our Healthcare Services segment, primarily pharmacy, provider, and clinical care services, to our Retail and Group and Specialty segment customers. Intersegment sales and expenses are recorded at fair value and eliminated in consolidation. Members served by our segments often use the same provider networks, enabling us in some instances to obtain more favorable contract terms with providers. Our segments also share indirect costs and assets. As a result, the profitability of each segment is interdependent. We allocate most operating expenses to our segments. Assets and certain corporate income and expenses are not allocated to the segments, including the portion of investment income not supporting segment operations, interest expense on corporate debt, and certain other corporate expenses. These items are managed at a corporate level. These corporate amounts are reported separately from our reportable segments and are included with intersegment eliminations in the tables presenting segment results below.
Premium and services revenues derived from our contracts with the federal government, as a percentage of our total premium and services revenues, were approximately 83% for 2020, 82% for 2019 and 81% for 2018.
RetailGroup and SpecialtyHealthcare ServicesEliminations/
Corporate		Consolidated
 (in millions)
2020
External revenues
Premiums:
Individual Medicare Advantage$51,697 $— $— $— $51,697 
Group Medicare Advantage7,774 — — — 7,774 
Medicare stand-alone PDP2,742 — — — 2,742 
Total Medicare62,213 — — — 62,213 
Fully-insured688 4,761 — 602 6,051 
Specialty— 1,699 — — 1,699 
Medicaid and other4,223 — — — 4,223 
Total premiums67,124 6,460 — 602 74,186 
Services revenue:
Provider— — 435 — 435 
ASO and other19 780 — — 799 
Pharmacy— — 581 — 581 
Total services revenue19 780 1,016 — 1,815 
Total external revenues67,143 7,240 1,016 602 76,001 
Intersegment revenues
Services— 29 19,491 (19,520)— 
Products— — 7,928 (7,928)— 
Total intersegment revenues— 29 27,419 (27,448)— 
Investment income155 16 13 970 1,154 
Total revenues67,298 7,285 28,448 (25,876)77,155 
Operating expenses:
Benefits56,537 5,529 — (438)61,628 
Operating costs7,402 1,818 27,395 (26,563)10,052 
Depreciation and amortization342 81 183 (117)489 
Total operating expenses64,281 7,428 27,578 (27,118)72,169 
Income (loss) from operations3,017 (143)870 1,242 4,986 
Interest expense— — — 283 283 
Other expense, net— — — 103 103 
Income (loss) before income taxes and equity in net earnings3,017 (143)870 856 4,600 
Equity in net earnings— — 74 — 74 
Segment earnings (loss)$3,017 $(143)$944 $856 $4,674 
RetailGroup and SpecialtyHealthcare ServicesEliminations/
Corporate		Consolidated
 (in millions)
2019
External revenues
Premiums:
Individual Medicare Advantage$43,128 $— $— $— $43,128 
Group Medicare Advantage6,475 — — — 6,475 
Medicare stand-alone PDP3,165 — — — 3,165 
Total Medicare52,768 — — — 52,768 
Fully-insured588 5,123 — — 5,711 
Specialty— 1,571 — — 1,571 
Medicaid and other2,898 — — — 2,898 
Total premiums56,254 6,694 — — 62,948 
Services revenue:
Provider— — 446 — 446 
ASO and other17 790 — — 807 
Pharmacy— — 186 — 186 
Total services revenue17 790 632 — 1,439 
Total external revenues56,271 7,484 632 — 64,387 
Intersegment revenues
Services— 18 18,255 (18,273)— 
Products— — 6,894 (6,894)— 
Total intersegment revenues— 18 25,149 (25,167)— 
Investment income195 23 2 281 501 
Total revenues56,466 7,525 25,783 (24,886)64,888 
Operating expenses:
Benefits48,602 5,758 — (503)53,857 
Operating costs5,306 1,651 24,852 (24,428)7,381 
Depreciation and amortization323 88 156 (109)458 
Total operating expenses54,231 7,497 25,008 (25,040)61,696 
Income from operations2,235 28 775 154 3,192 
Interest expense— — — 242 242 
Other income, net— — — (506)(506)
Income before income taxes and equity in net earnings2,235 28 775 418 3,456 
Equity in net earnings— — 14 — 14 
Segment earnings$2,235 $28 $789 $418 $3,470 
RetailGroup and SpecialtyHealthcare ServicesIndividual CommercialOther BusinessesEliminations/
Corporate		Consolidated
 (in millions)
2018
External revenues
Premiums:
Individual Medicare Advantage$35,656 $— $— $— $— $— $35,656 
Group Medicare Advantage6,103 — — — — — 6,103 
Medicare stand-alone PDP3,584 — — — — — 3,584 
Total Medicare45,343 — — — — — 45,343 
Fully-insured510 5,444 — 8 — — 5,962 
Specialty— 1,359 — — — — 1,359 
Medicaid and other2,255 — — — 22 — 2,277 
Total premiums48,108 6,803 — 8 22 — 54,941 
Services revenue:
Provider— — 404 — — — 404 
ASO and other11 835 — — 4 — 850 
Pharmacy— — 203 — — — 203 
Total services revenue11 835 607 — 4 — 1,457 
Total external revenues48,119 7,638 607 8 26 — 56,398 
Intersegment revenues
Services— 18 16,840 — — (16,858)— 
Products— — 6,330 — — (6,330)— 
Total intersegment revenues— 18 23,170 — — (23,188)— 
Investment income136 23 34 — 110 211 514 
Total revenues48,255 7,679 23,811 8 136 (22,977)56,912 
Operating expenses:
Benefits40,925 5,420 — (70)77 (470)45,882 
Operating costs5,327 1,810 22,905 4 6 (22,527)7,525 
Depreciation and amortization270 88 163 — — (116)405 
Total operating expenses46,522 7,318 23,068 (66)83 (23,113)53,812 
Income from operations1,733 361 743 74 53 136 3,100 
Loss on sale of business— — — — — 786 786 
Interest expense— — — — — 218 218 
Other expense, net— — — — — 33 33 
Income (loss) before income taxes and equity in net earnings1,733 361 743 74 53 (901)2,063 
Equity in net earnings— — 11 — — — 11 
Segment earnings (loss)$1,733 $361 $754 $74 $53 $(901)$2,074