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A U.S. health insurance and healthcare-services company focused particularly on Medicare and related care delivery.

Last updated November 4, 2026

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Overview

Humana Inc. is a publicly traded American health insurance and healthcare-services company headquartered in Louisville, Kentucky. Founded in 1961 by lawyers David A. Jones Sr. and Wendell Cherry, the business initially operated nursing homes before moving into hospitals and, later, health insurance. Its corporate name became Humana in 1974, reflecting an effort to associate the company with a more personal and humane model of care. The company expanded rapidly during the 1970s and 1980s, including through the 1978 acquisition of American Medicorp. It became one of the largest hospital operators in the United States and developed a distinctive double-corridor hospital design intended to reduce the distance between patient rooms and nursing stations. As healthcare financing changed, Humana moved increasingly toward insurance. A lost hospital contract with a major health-maintenance organization helped motivate the development of an in-house insurance plan, marking a strategic shift away from hospital ownership. In the early 1990s, Humana separated its hospital operations from its insurance business. The hospital assets were placed into Galen Health Care, which was subsequently sold to Columbia Hospital Corporation of America in 1994. Humana thereafter concentrated on health benefits, government-sponsored coverage, and related services. Its portfolio has included Medicare Advantage, Medicare prescription-drug coverage, Medicaid, employer-sponsored products, military healthcare administration, pharmacy services, and care-management capabilities. Humana has periodically expanded beyond conventional insurance. It acquired Concentra in 2010, bringing urgent-care and physical-therapy operations into the company, although Concentra was sold in 2015. The company also invested in home health, hospice, and community-based care through Kindred at Home, acquired a majority interest in the business in 2021, and sold that interest to Clayton, Dubilier & Rice in 2022 while retaining a minority stake in the resulting home-health venture. Other moves included the acquisition of Enclara Healthcare and the creation of Humana Studio H, a digital-health and analytics division. The company is particularly identified with Medicare Advantage and has reduced its emphasis on employer-based commercial insurance. In 2023, Humana announced that it would exit the employer-based group commercial insurance market, reinforcing its focus on government programs and senior-oriented healthcare. Its other major activities include pharmacy-benefit and pharmacy-services operations, Medicaid participation, military health benefits administration through Humana Military, primary-care initiatives, and programs intended to support healthy behavior and population health. Humana has also been involved in public controversies concerning managed-care incentives, coverage decisions, Medicare communications, and alleged pharmaceutical price fixing. It has sponsored cultural, sporting, and senior-focused initiatives, including the Grand Ole Opry, the National Senior Games, the Humana Festival of New American Plays, and formerly the PGA Tour. Humana remains an active U.S. insurer whose identity is centered on Medicare, government-sponsored health benefits, and integrated care services rather than life insurance.

History

Humana began in 1961 when David A. Jones Sr. and Wendell Cherry established a nursing-home company. Known as Extendicare by 1968, the enterprise became the largest nursing-home operator in the United States. In 1972, the founders sold the nursing-home chain and used the proceeds to acquire hospitals, entering a sector then dominated by nonprofit institutions and emerging for-profit operators such as Hospital Corporation of America. The company adopted the Humana name in 1974. The change was intended to present the organization as a provider of more humane and personal care rather than as an operator that merely housed patients. Expansion continued through acquisitions, most notably the 1978 purchase of American Medicorp, which substantially increased the company’s scale. During the 1980s, Humana became one of the world’s largest hospital companies and developed a double-corridor hospital layout that placed support services between corridors and patient rooms, aiming to shorten staff travel distances. Humana’s transition toward insurance was driven by changes in the U.S. healthcare system. When one of its Arizona hospitals lost a contract with a major health-maintenance organization, the company created its own health plan. Insurance eventually became more strategically important than hospital ownership. By 1993, Humana operated 77 hospitals, but its executives separated the hospital and insurance activities. The hospital business became Galen Health Care, and in 1994 Columbia Hospital Corporation of America bought 73 Galen hospitals for approximately $3.4 billion. Humana remained independent after an unsuccessful 1998 acquisition attempt by UnitedHealthcare. In 2001, it helped establish Availity, a healthcare-information exchange platform. During the 2000s, the company developed wellness and population-health initiatives, including a 2005 partnership with Virgin Group and a 2006 collaboration with the Centers for Disease Control and Prevention. Humana also established Humana Military Healthcare Services in 1993 and began serving military beneficiaries under a TRICARE contract in 1996. The company returned to broader healthcare delivery in 2010 by acquiring Concentra, an operator of urgent-care and physical-therapy centers. Concentra was sold in 2015, with proceeds supporting capital allocation and a share-repurchase program. That same year, Aetna proposed acquiring Humana in a cash-and-stock transaction valued at roughly $37 billion. The U.S. Department of Justice challenged the deal as anticompetitive, and courts blocked it. The companies ended the transaction in 2017. Humana subsequently increased its emphasis on home-based and community care. In 2018 it acquired a 40 percent interest in Kindred at Home’s home-health, hospice, and community-care operations alongside private-equity partners. It also formed Humana Studio H to work on digital health and analytics. In 2019, Humana announced an agreement to acquire Enclara Healthcare. In 2021 it acquired a 60 percent stake in Kindred at Home, then agreed in 2022 to sell that interest to Clayton, Dubilier & Rice for approximately $2.8 billion while maintaining a minority position in the business. Humana’s modern strategy is centered on Medicare Advantage, Medicaid, military healthcare, pharmacy services, and care delivery for older adults. Its 2023 decision to exit employer-based commercial group insurance represented a further narrowing of strategic focus. The company continues to operate as a major U.S. health insurer and healthcare-services provider, with Medicare and government-sponsored coverage at the core of its brand and business model.

  • 2023

    Employer commercial group insurance exit announced

    [1]

    Humana announced a strategic withdrawal from employer-based commercial group insurance.

  • 2022

    Kindred at Home interest sold to Clayton, Dubilier & Rice

    [1]

    Humana agreed to sell its majority interest in the home-care business while retaining a minority position.

  • 2018

    Kindred at Home investment and Studio H launched

    [1]

    Humana invested in Kindred at Home’s community-care operations and created a digital-health and analytics division.

  • 2017

    Aetna transaction terminated

    [1]

    The proposed merger was abandoned after federal courts blocked it on antitrust grounds.

  • 2015

    Concentra sold and Aetna merger proposed

    [1]

    Humana sold Concentra and entered into a proposed acquisition agreement with Aetna.

  • 2010

    Concentra acquired

    [1]

    Humana acquired the urgent-care and physical-therapy operator, expanding into direct healthcare services.

  • 1994

    Galen hospitals sold

    [1]

    Columbia Hospital Corporation of America acquired most of Galen’s hospitals for approximately $3.4 billion.

  • 1993

    Hospital and insurance activities separated

    [1]

    Humana spun its hospital operations into Galen Health Care while retaining the health-insurance business.

  • 1978

    American Medicorp acquired

    [1]

    The acquisition substantially increased Humana’s scale and supported its growth as a hospital operator.

  • 1974

    Corporate name changed to Humana

    [1]

    The company adopted the Humana name as it expanded from nursing homes into hospitals and sought to emphasize human-centered care.

Products and positioning

A large U.S. health insurer with a strong Medicare and government-program orientation, increasingly combining insurance with primary care, pharmacy, analytics, and home-based care services.

  • Health insurance

    Medicare Advantage

    Humana’s Medicare Advantage business provides privately administered alternatives to Original Medicare for eligible U.S. beneficiaries. Plans generally combine hospital and medical coverage and may include prescription-drug benefits, provider networks, care coordination, supplemental benefits, and programs directed at older adults. Medicare Advantage has become the central insurance focus of the Humana brand.

  • Pharmacy insurance

    Medicare prescription drug plans

    Humana offers Medicare Part D prescription-drug coverage through standalone and plan-integrated products. These offerings use formularies, pharmacy networks, benefit structures, and medication-management services to help administer prescription coverage for Medicare members.

  • Health insurance

    Medicaid plans

    Humana participates in Medicaid markets through managed-care arrangements serving eligible low-income members. State-specific benefits and operating structures vary, but the business generally combines insurance administration with provider networks, care coordination, and member-support services.

  • Government healthcare administration · 1993

    Humana Military

    Humana Military Healthcare Services administers healthcare benefits for military personnel, retirees, and their families under Department of Defense TRICARE contracts. The business has served beneficiaries in regional managed-care programs and is associated with the TRICARE East region.

  • Pharmacy services

    Enclara Healthcare

    Enclara Healthcare is a pharmacy-services business acquired by Humana from Consonance Capital Partners and Enclara management. Its activities support prescription fulfillment and pharmacy-related services, complementing Humana’s insurance and medication-management capabilities.

Controversies

  • 2021

    Humana sues Regeneron over alleged Eylea pricing scheme

    Humana filed suit against Regeneron, alleging that Regeneron and the Chronic Disease Foundation engaged in a scheme involving Eylea that defrauded Medicare and its contracted payors. The complaint alleged that Regeneron inflated Eylea's price and provided illegal kickbacks to the foundation; these are allegations, not a stated court finding.

  • 2021

    Class-action suit filed against Humana and Cotiviti over data breach

    Steven K. Farmer filed a suit against Humana and Cotiviti alleging that the companies failed to safeguard personal and health information, which was exposed in a data breach. The suit was later removed to federal court.

  • 2019

    Generic-drug price-fixing lawsuit

    Humana filed litigation alleging that dozens of defendants participated in a far-reaching conspiracy to fix prices for generic drugs.

  • 2019

    Humana sues pharmaceutical companies over generic drug prices

    Humana filed a lawsuit alleging that 37 pharmaceutical companies engaged in an industrywide conspiracy that caused prices of several generic drugs to rise. The allegation is the plaintiff's claim, not a court determination.

  • 2009

    Investigation into Medicare mailings

    The U.S. Department of Health and Human Services investigated Humana mailings to Medicare recipients that critics said could be mistaken for official government information and contained claims about healthcare reform. Regulators instructed the company to suspend the mailings while the matter was reviewed.

  • 1999

    Dispute over coverage of transplant treatment

    A television program produced by Michael Moore criticized Humana over the denial of treatment for a diabetic patient requiring a transplant. Following the public action, Humana changed its policy and authorized treatment, while later disputing aspects of the account.

  • 1996

    Congressional testimony on managed-care incentives

    Physician Linda Peeno, who had worked as a Humana contractor, testified before Congress about managed-care incentives and alleged that a coverage decision had been financially rewarded. Humana later disputed her characterization and employment status.

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Marketing campaigns

  • 2005Virgin Group healthy-behavior partnership

    United States

    Humana partnered with Virgin Group on member incentives intended to encourage exercise and other healthy behaviors.

    Outcome. Health-and-wellness partnership

  • 1979Humana Festival of New American Plays sponsorship

    United States

    Humana became a principal sponsor of the annual Louisville festival dedicated to new American theatrical works.

    Outcome. Long-running cultural sponsorship

  • Grand Ole Opry presenting sponsorship

    United States

    Humana has served as presenting sponsor of the Grand Ole Opry, linking the brand with a prominent American music institution.

    Outcome. Ongoing or unspecified sponsorship period

  • National Senior Games sponsorship

    United States

    Humana has sponsored the National Senior Games, supporting an event focused on active older adults.

    Outcome. Senior-health and community sponsorship

Brand decisions

  • 2023

    Withdrawal from employer-based commercial group insuranceStrategy

    Background

    Humana increasingly prioritized Medicare, Medicaid, military healthcare, pharmacy, and care-delivery activities.

    Action taken

    The company announced that it would exit the employer-based commercial group insurance market.

    Aftermath

    The decision reinforced Humana’s concentration on government-sponsored coverage and senior-focused healthcare.

  • 2018

    Investment in Kindred at HomeM&A

    Background

    Humana sought to expand its role in home-based, hospice, and community care alongside private-equity partners.

    Action taken

    Humana acquired a 40 percent stake in the relevant Kindred at Home operations for approximately $800 million.

    Aftermath

    Humana later acquired a 60 percent interest in 2021 and agreed to sell that majority interest to Clayton, Dubilier & Rice in 2022.

    Initial investment. Approximately $800 million (2018)

  • 2015

    Agreement to be acquired by AetnaM&A

    Background

    Aetna proposed acquiring Humana in a cash-and-stock transaction valued at approximately $37 billion, combining two major U.S. health insurers.

    Action taken

    Humana entered the proposed transaction, subject to shareholder and regulatory approval.

    Aftermath

    The U.S. Department of Justice challenged the deal, courts issued injunctions blocking it, and the companies terminated the agreement in 2017.

    Proposed transaction value. Approximately $37 billion (2015 announcement)

Recent events

  • Reported

    Optro unveils 2026 Connector Award winners at CRX user conference[6]

    Optro, an AI-powered GRC Intelligence Platform, announced the winners of its 2026 Connector Awards program on Oct. 12, 2026 at its annual CRX user conference in San Diego. Customers Reddit, Fortive, GE Aerospace, Eaton, Verizon, and Humana were named winners across categories including Agentic Pioneer, Visionary, Excellence in Action, Bridge Builders, Cyber Resilience, and Agent of Change.

  • Reported

    Humana's largest Medicare Advantage contract improves in CMS 2027 Star Ratings[7]

    The Centers for Medicare & Medicaid Services rolled out its 2027 Star Ratings on its Medicare Plan Finder for fall open enrollment, and Humana's largest Medicare Advantage contract saw its rating improve, sending Humana shares up 14% premarket while Alignment Healthcare fell 23%.

  • Unconfirmed

    Reported

    Verizon channel chief Mark Tina leaves after 23 years for Humana[8]

    Verizon channel chief and vice president of indirect partner sales Mark Tina is leaving the company after 23 years to become vice president of national partner sales and distribution at health insurer Humana.

  • Reported

    Premise Health partners with Humana to provide associate health care[9]

    Premise Health partnered with Humana to operate Humana Health & Well-being Centers and provide care to Humana associates. Premise Health was operating four wellness centers for Humana.

  • Reported

    Humana sues AllCare over settlement payment agreement[10]

    Humana Insurance Company and Health Value Management filed a lawsuit against AllCare Physicians Group, alleging breach of a contract arising from a prior settlement concerning overpaid claims. The plaintiffs seek the remaining balance and attorneys' fees.

  • Reported

    Humana sues Regeneron over alleged Eylea pricing scheme[4]

    Humana filed suit against Regeneron, alleging that Regeneron and the Chronic Disease Foundation engaged in a scheme involving Eylea that defrauded Medicare and its contracted payors. The complaint alleged that Regeneron inflated Eylea's price and provided illegal kickbacks to the foundation; these are allegations, not a stated court finding.

  • Reported

    Class-action suit filed against Humana and Cotiviti over data breach[5]

    Steven K. Farmer filed a suit against Humana and Cotiviti alleging that the companies failed to safeguard personal and health information, which was exposed in a data breach. The suit was later removed to federal court.

  • Humana and Heal announce care-services partnership[11]

    Humana and Heal announced a partnership under which Humana will promote Heal’s in-home and virtual care services to patients it covers. The agreement also provides for expansion into Chicago, Charlotte and Houston.

  • Reported

    Entergy Louisiana launches Fueling the Fight initiative[12]

    Entergy Louisiana launched the Fueling the Fight in the Capital Region initiative in partnership with the Baton Rouge Area Foundation, ExxonMobil, LMOGA Foundation, the Blue Cross and Blue Shield of Louisiana Foundation, and Humana. The initiative provides up to $290,000 in relief funds for people affected by the COVID-19 pandemic.

  • Reported

    Humana sues pharmaceutical companies over generic drug prices[3]

    Humana filed a lawsuit alleging that 37 pharmaceutical companies engaged in an industrywide conspiracy that caused prices of several generic drugs to rise; the allegation is the plaintiff’s claim, not a court determination.

Read more(11)

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