CIGNA HealthCare is expanding a new radiology benefits management relationship.
CIGNA HealthCare, a unit of CIGNA Corp., Philadelphia, will be using Magellan Health Services Inc., Avon, Conn., to be managing radiology benefits in 4 more markets with a total of 900,000 plan members.
The new deal extends a previously announced contract that calls for Magellan to manage radiology benefits for CIGNA HealthCare in 11 markets with about 3 million plan members.
The previously announced contract will start Friday and run through May 31, 2011.
Magellan will start implementing the new contract, for the 4 additional markets, by early 2008, Magellan says.
Together, the 2 contracts should generate about $170 million in revenue per year, Magellan says.