Georgia Healthcare Group acquires significant new medical insurance client
Source - SMW
Georgia Healthcare Group announced that its medical insurance business has acquired a significant new client, the Georgian Ministry of Internal Affairs, by winning a recent tender process.
The Ministry of Internal Affairs is the country's largest insurance client by number of insured, nearly 65,000. As a result, the number of Georgia Healthcare Group insured individuals now totals approximately 155,000.
With the plan to incentivise the use of Georgia Healthcare Group healthcare facilities and pharma business products, the company said it expects significant synergies to come from this contract in 2018, further improving retention rates within Georgia Healthcare Group.
Nikoloz Gamkrelidze, CEO of Georgia Healthcare Group, said: 'Our medical insurance business has implemented significant initiatives since June 2017, to adapt to changes in the Government's Universal Healthcare Programme by improving contract pricing with existing clients and terminating certain loss-making contracts.'
'We expect that the resultant increased client base, with adjusted pricing, will drive further improvements in the business' profitability and, equally importantly, will further increase retention rates within the Group.'
'Our medical insurance business plays an important role in our business model, as it is a significant feeder for both our pharma and healthcare services businesses, particularly for our polyclinics (outpatient clinics).'
At 8:10am: (LON:GHG) Georgia Healthcare Group Plc share price was -2.5p at 342.5p