Fallon Health reports first quarter results

Worcester, Mass., May 15, 2020 ― Fallon Health today announced its financial results for the first quarter, which ended on March 31, 2020. Results show an adjusted net income of $2.3 million on revenue of $441 million. The results included an operating loss of $800,000 with investments and other income of $3.1 million, excluding mark-to-market investment gains and losses on equity securities. For the same period in 2019, Fallon reported net income of $3.1 million on revenue of $404 million, which included investment and other income of $1.7 million and an operating income of $1.4 million. Membership was 252,545 compared to 264,342 as of March 2019.

“During these unprecedented times, Fallon continues to focus on care management to maintain and improve the health of members. I want to acknowledge and thank the dedicated employees who support them. Working from home or on the front lines, they have shown tremendous resiliency and flexibility," Richard Burke, President and CEO of Fallon Health.

“From a financial perspective, our results are consistent with expectations for the first quarter despite the early stages of the current health care crisis. Fallon has acted swiftly and decisively to help members, support provider partners and care for the communities we serve while working to curb the spread of the virus," said Todd Bailey, Chief Financial Officer for Fallon Health.

Highlights that support Fallon’s business objectives and mission in light of the pandemic include: 

  • Relaxed administrative procedures and improved access to health care services, including telehealth.
  • Established a dedicated hotline (1-877-835-8440, TRS 711) to connect members with representatives who can address questions about the coronavirus, discuss available benefits and provide phone numbers for additional help.
  • Donated $100,000 in COVID-19 relief funds including $25,000 to 'Worcester Together' and $75,000 in emergency mini-grants to meet evolving needs of the most vulnerable members in the community.
  • Launched 'Operation Stay Connected', an outreach initiative to reach as many members as possible during this uncertain time, with a specific focus on reaching those who may be at high-risk for COVID-19.
  • Transformed the Program of All-Inclusive Care for the Elderly (PACE) model in the age of COVID-19 to keep Summit ElderCare and Fallon Health Weinberg PACE participants safe and well. Examples include more home, telephonic and video check-ins for care. These range from clinical visits to activities to help mitigate social isolation.
  • Prepared for the transition of Fallon's newest PACE center on Grove Street in Worcester into a 24/7 COVID-19 positive infirmary for eligible Summit ElderCare participants who are actively symptomatic and who need sub-acute care.

Melissa Randall
.Corporate Communications Manager, Fallon Health

About Fallon Health
Founded in 1977, Fallon Health is a leading health care services organization that supports the diverse and changing needs of those we serve. In addition to offering innovative health insurance solutions and a variety of Medicaid and Medicare products, we excel in creating unique health care programs and services that provide coordinated, integrated care for seniors and individuals with complex health needs. Fallon has consistently ranked among the nation’s top health plans and is accredited by the National Committee for Quality Assurance for its HMO, Medicare Advantage and Medicaid products.