Centene to acquire health care AI company Apixio

Last modified November 9, 2020. Published November 9, 2020.

said Monday it has entered into an agreement to acquire health care analytics company Apixio in a move that will provide the health insurer with artificial intelligence options to add to its technology lineup.

California-based Apixio’s platform works to mine the textual data generated from the more than 1.2 billion clinical documents generated annually in the United States, and compares that data to available structures in order to “craft computable individual health profiles,” according to the company’s website. The process helps to speed up quality and risk measures, payment policies, reimbursements and other operational and administrative tasks through AI automation.

The acquisition of Apixio is an expression of Centene’s commitment to “accelerating innovation, modernization and digitization” throughout the health care industry, Centene President and CEO Michael F. Neidorff said. Financial details of the transaction were not disclosed.

The implementation of Apixio’s technology into Centene’s existing digital offerings will help to create a “differentiated platform to broaden support for value-based health care payment and delivery with actionable intelligence,” Neidorff said.

“Apixio's capabilities are closely aligned with our plans to digitize the administration of health care and to leverage comprehensive data to help improve the lives of our members," Neidorff added.

Centene, based in St. Louis, is primarily focused on providing cost-effective services to under-insured and uninsured customers, and works as an intermediary for both government-provided and private health care programs. Medicare, Medicaid and ACA health marketplace plans are among its main product lines.

The transaction will enable Apixio to gather more data points from a wider variety of customers, ultimately resulting in stronger analysis and a better product, Apixio CEO Darren Schulte said.

“With Centene, we will be able to accelerate the use of our AI technology to improve the way that health care is measured, administered and delivered, and to help enable new discoveries," Schulte said. "This partnership positions Apixio to extract insights from digital data to help millions of individuals receive higher quality care around the world."

The transaction will see Apixio remain an operationally independent entity under Centene’s health care enterprises group. The acquisition is subject to regulatory approvals and is expected to close by the end of 2020.