Banking on baby boomers

摘要

Cigna, the fifth-largest U.S. insurer, agreed to buy Health-Spring, a health-main tenance organization, for $3.8 billion in cash. The deal will add 1.17 million Medicare customers, tripling the number Cigna currently serves. Three-quarters of seniors are covered directly by Medicare and not by commercial managed-care plans, making private plans the fastest-growing products for health insurers. After this move to target baby boomers, Cigna now is looking for acquisitions that will help direct sales to consumers younger than 65.