Bupa

From Wikipedia, the free encyclopedia
Jump to navigation Jump to search

Bupa
TypeCompany limited by guarantee
IndustryFinancial services
Healthcare
Founded1947; 74 years ago (1947)
Headquarters,
Key people
Iñaki Ereño, Group CEO
Roger Davis, Chairman
Serviceshealth insurance, healthcare, dental care and dental insurance, outpatient clinics, hospitals, digital health, care homes, retirement villages
Revenue£12.1 billion (2020)[1]
£410 million (statutory profit before taxation)(2020)[1]
Total assets£17.028 billion (2020)[2]
Total equity£7.198 billion (2020)[3]
Number of employees
84,000 (2020)
Websitewww.bupa.com

Bupa /bpə/ is an international health insurance and healthcare group with over 31 million customers worldwide.

Bupa's origins and global headquarters are in the United Kingdom. Its main countries of operation are: Australia, Spain, UK, Chile, Poland, New Zealand, Hong Kong SAR, Turkey, Brazil, Ireland, Mexico and USA. It also has a presence across Latin America, the Middle East and Asia, including joint ventures in Saudi Arabia and India.'[4]

Bupa is a private company limited by guarantee. It has no shareholders and reinvests its profits.[5]

Health insurance represents 72% of Bupa's revenues worldwide and 17.9 million of its customers. Bupa runs various health provision services for a further 13.6 million customers worldwide (20% of its revenue) including hospitals (primarily in Spain, Poland and Chile), outpatient clinics, dental centres and digital services. Bupa also runs aged care facilities in four countries: UK, Australia, Spain and New Zealand, which make up 8% of its revenue.[6]

Bupa was ranked 5th best employer in the UK by LinkedIn in 2019.[7] It was ranked 83rd out of 750 global companies in the 2020 Forbes World's Best Employers List.[8]

History[edit]

Bupa (originally the British United Provident Association) was established in 1947 when seventeen British provident associations joined together to provide healthcare for the general public. The firm is a private company limited by guarantee; it has no shareholders, and any profits (after tax) are reinvested in the business.

The services offered by Bupa began as private medical insurance, offering policies to individuals, companies and other organisations, and eventually expanded to include privately run hospitals, outpatient clinics, health assessments, GP services, dental centres, digital health, aged care and other health services.[9]

Leadership[edit]

Iñaki Ereño became Group CEO in January 2021.[10][11] Ereño was previously the CEO of Bupa's Europe and Latin America division and he succeeded Evelyn Bourke.[12]

Growth of the company[edit]

Bupa has expanded internationally from its UK operations.[13] Malta was the site of Bupa’s first overseas business in 1971[14] and it started insurance operations in Hong Kong in 1976.[15]

1980s[edit]

In 1982, Bupa International was launched to provide worldwide medical cover to people working outside their home country. This business division is now branded as 'Bupa Global'.

In 1989, Bupa acquired 'Sanitas' S.A. de Seguros,[16] now Spain's second largest private medical insurer. This has expanded to become a combined health insurance, hospital, clinic, dental and aged care business operating under the Sanitas brand.

1990s[edit]

During the 1990s, Bupa continued to expand internationally. An insurance business was established in Thailand which was sold in 2017 to Aetna.[17] Bupa Ireland, a health insurance business, was established in 1996 but sold in 2007.

Bupa also diversified in the UK into care homes with the acquisition of 200 homes through Community Nursing Homes, Goldsborough Healthcare Group[18] and Care First Group.[19]

In 1997, Bupa entered the Kingdom of Saudi Arabia in partnership with the Nazer Group to form Bupa Arabia. In 2008, Bupa Arabia was listed on the Tadawul, the Saudi stock market. Bupa Arabia is now the leading health insurance provider in the KSA. Bupa owns 43.25% of this business.[20][21]

2000–2010[edit]

In the 2000s, Bupa entered the Australian health insurance market, opened hospitals in Spain and expanded its network of clinics and care homes in the UK.[14]

In 2007, Bupa completed the sale of its UK hospitals business to Spire Healthcare.[22] Bupa’s rationale was that the scale of both its UK hospitals and insurance businesses meant that they were becoming increasingly constrained by being part of the same group.

Significant acquisitions followed. The largest of these was the merger of Bupa's insurance business in Australia with the insurance group MBF to form what was then Australia’s second largest private medical insurer.[23] In 2011, Bupa Australia brought together the insurance brands MBF, HBA and Mutual Community under the Bupa brand. Bupa acquired the Amity Group of care homes in Australia in 2007.[24]

In 2010, Bupa launched a partnership in India with Max India Ltd, branded Max Bupa.[25] In 2016, Bupa increased its ownership of Max Bupa, to 49%.[26] In 2019, Bupa completed the transition to a new partner, True North, while retaining a 44.42% stake in Max Bupa.[27]

Since 2010[edit]

In 2012, Bupa acquired the largest private healthcare network in Poland, LUX MED, from the private equity fund Mid Europa Partners for €400m.[28][29]

Other acquisitions in this period included: Dental Corporation,[30] Australia and New Zealand’s largest dental provider;[31] Quality HealthCare, a private clinic network in Hong Kong;[32] a 49% stake in Highway to Health, Inc., a US health insurer specialising in providing international health insurance for US residents planning to live or work abroad.[33]

In February 2015, Bupa acquired a controlling share in Chilean private healthcare network Cruz Blanca.[34][35][36] In 2016, Bupa became the sole owner of Cruz Blanca[37] (branded as Bupa Chile[38]). Bupa Chile opened a major hospital in Santiago in 2018.[39]

In 2016, Bupa acquired Care Plus, a health insurance business in Brazil.[40][41]

In the UK, in 2016, Bupa sold its home healthcare medication delivery division to Celesio AG.[42]

In 2017, Bupa completed the purchase of Oasis Dental Care, the UK's leading private dental provider with 380 practices, for £835 million, from Bridgepoint, a Private Equity group.[43] As a result Bupa became a major dental provider. The business has since grown to around 490 clinics in the UK and the Republic of Ireland.[44][45] Bupa operates dental practices in the Republic of Ireland under the Smiles Dental brand.[46]

In the UK, in August 2017, it sold 122 care homes, with 9,000 beds, to HC-One for £300 million.[47][48] 22 further homes were sold to Advinia Healthcare.[49]

In 2018, Sanitas acquired Nectar Seguros,[50] a Spanish private health insurer[51] and Ginemed, an IVF and fertility business with 18 clinics across Spain and Portugal.[52][53]

In January 2019, Bupa acquired Acibadem Sigorta in Turkey. Bupa Acıbadem Sigorta[54] is Turkey's second largest health insurer with both corporate and individual customers. Headquartered in Istanbul, it insures 600,000 people.[55][56] In December 2020, Bupa México announced the acquisition of BBVA México's medical services provider Vitamédica.[57] In January 2021, in the UK, the transfer of CS Healthcare’s business and 17,500 members to Bupa completed.[58]

Operations and business structure[edit]

This is taken from published corporate information by Bupa[59][4] and regulatory reports,[60] financial disclosures.[61][62][63] Bupa's global operations across its group are structured across three divisions ("Market Units") together with a number of other business and partnerships.[64][65]

Australia and New Zealand[edit]

  • Bupa Health Insurance, with 3.9 million customers, is a leading health insurance provider in Australia and also offers health insurance for overseas workers and visitors.
  • Bupa Health Services is a health provision business, comprising dental, optical, audiology, medical assessment services and health care for the Australian Defence Force.
  • Bupa Villages and Aged Care Australia cares for around 6,000 residents across 68 homes and 1 retirement village.
  • Bupa Villages and Aged Care New Zealand cares for around 3,400 residents in 48 homes and 32 retirement villages in New Zealand.

The company's main office is in Melbourne. Other major offices are in Adelaide, Brisbane and Sydney.

Europe and Latin America[edit]

  • Sanitas Seguros is the second largest health insurance provider in Spain, with 1.8m customers.
  • Sanitas Hospitales and New Services comprise four private hospitals, 31 private medical clinics, 19 fertility clinics (in Spain and Portugal), and one public hospital under a Public-Private partnership model.
  • Sanitas Dental provides dental services through 200 centres and third-party networks in Spain.
  • Sanitas Mayores cares for around 4,800 people in 47 care homes and six day care centres in Spain.
  • LUX MED is a private healthcare business in Poland, operating in health funding and provision through 12 hospitals and 236 private clinics.
  • Bupa Chile is a health insurer serving 790,000 customers and offering provision services to 2.3 million customers across four hospitals and 34 medical clinics.
  • Bupa Acıbadem Sigorta is Turkey’s second largest health insurer, with products for corporate and individual customers, and has around 650,000 customers.
  • Care Plus is a health insurance company in Brazil, with around 120,000 customers, concentrated in São Paulo.
  • Bupa Mexico is a health insurer offering private medical insurance to individuals and corporates in Mexico, with around 60,000 customers.
  • Bupa Global Latin America provides international health insurance, local health insurance, and travel insurance to around 75,000 customers. Main operations include Guatemala, Panama, Dominican Republic, Colombia, Ecuador, Bolivia and Chile, as well as a health provision business in Peru.

The Europe and Latin America's division's headquarters are in Madrid.

Bupa Global and UK[edit]

  • Bupa UK Insurance is a health insurer in the UK, with 2.2m customers.
  • Bupa Dental Care is a leading provider of private dentistry with 492 dental centres across the UK and the Republic of Ireland.
  • Bupa Care Services cares for around 6,000 residents in 124 care homes, and 9 Richmond care villages in the UK. 
  • Bupa Health Services comprises 50 health clinics and the Cromwell Hospital in London.
  • Bupa Global serves over 510,000 International Private Medical Insurance customers and administers travel insurance and medical assistance for individuals, small businesses and corporate customers.

Bupa has its global and UK head offices in central London. In the UK, there are also major offices in Staines, Salford Quays, Brighton, Bristol and Leeds.

Other businesses[edit]

Bupa also has associate health insurance businesses in Saudi Arabia (Bupa Arabia) and India (Max Bupa), a health insurance (Bupa Hong Kong) and provision business (Quality Healthcare) in Hong Kong SAR and a representative office (in Beijing) and medical centre (in Guangzhou) in mainland China.

Foundations[edit]

Bupa supports a number of grant-giving foundations in different countries which work on health and social issues.

UK[edit]

The Bupa UK Foundation[66] focuses on grant-giving and charity partnerships around mental health. These include Beyond Words for World Mental Health Day supported by Cheltenham Festivals, Mind, National Literacy Trust.[67][68]

Australia[edit]

The Bupa Health Foundation is one of the leading charitable foundations dedicated to health in Australia.[citation needed] The foundation invests in research that claims to improve health and it collaborates with researchers across academic, industry and healthcare communities. It advocates for researchers, organisations and initiatives that are improving health capacity building by developing skills and networks of health and medical researchers.[69] Over the last 10 years the foundation has invested more than AUS$35 million in partnerships.[70][71] Focus areas include youth mental health including partnerships with Kids Helpline, Macquarie University Centre for Emotional Health, Edith Cowan University.[72] [73]

Spain[edit]

The Fundacion Sanitas focuses on inclusive sports, the recognition of young doctors in Spain, the health and well-being of caregivers of people with dementia, cooperation in health and research in cardiovascular diseases.[74]

Regulatory action and controversies[edit]

United Kingdom[edit]

Bupa UK has been criticised by some judges, coroners and regulators regarding failures to meet regulatory standards in some of its residential care homes.[75][76][77][78][79][80][81]

Staff and families of residents in some care homes have criticised Bupa for allegedly prioritising profits to the detriment of care.[82][83] In 1999, seven care workers who reported abuse of residents to management became known as the Bupa Seven in media reports.[84]

In 2017, a data breach involving health insurance customers in its Bupa Global division.[85]

In 2018, Bupa UK was fined £3 million after a resident died after contracting Legionnaire's disease.[86] The fine was reduced to £1.5 million.[87]

Australia[edit]

Bupa's operations in Australia have been the subject of regulatory action and criticism in news media, particularly in 2018 and 2019. As of May 2020, there are no Bupa aged care homes currently operating under regulatory sanctions.[88]

Previous issues and allegations made include:

  • Rejecting insurance claims without doctor review, while telling patients the rejections had been 'determined by medical practitioner'.[89]
  • Neglect of elderly patients.[90] Complaints by the Aged Care Minister Richard Colbeck that Bupa had persistently failed to meet regulatory standards. Bupa's ANZ CEO gave an apology on ABC for "totally unacceptable" failings .[91]
  • Charging aged care residents in 20 of its homes for "extra" services that were not ultimately delivered to 4,306 residents.[92] Bupa's apology and explanation of the issue are here.[93] In May 2020, the Australian Federal Court approved a AUS$6m settlement between Bupa and the Australian Competition and Consumer Commission (ACCC).[94]

References[edit]

  1. ^ a b "Annual Report and Accounts 2020" (PDF). Bupa. Retrieved 18 April 2021.
  2. ^ https://www.bupa.com/~/media/files/site-specific-files/our-performance/pdfs/financial-results-2020/annual-report-and-accounts.pdf
  3. ^ https://www.bupa.com/~/media/files/site-specific-files/our-performance/pdfs/financial-results-2020/annual-report-and-accounts.pdf
  4. ^ a b [1], Bupa.com
  5. ^ "Financial results". Bupa. Retrieved 12 September 2020.
  6. ^ https://www.bupa.com/~/media/files/site-specific-files/our-performance/pdfs/financial-results-2020/annual-report-and-accounts.pdf
  7. ^ Carroll, Katie (3 April 2019). "Top Companies 2019: Where the UK wants to work now". LinkedIn. Retrieved 31 August 2019.
  8. ^ "Forbes World's Best Employers List". Forbes. Retrieved 23 October 2020.
  9. ^ See page 8 of the company's latest annual report (2020) published March 2021 https://www.bupa.com/~/media/files/site-specific-files/our-performance/pdfs/financial-results-2020/annual-report-and-accounts.pdf
  10. ^ "Bupa announces Evelyn Bourke is retiring as Group CEO, and appoints Iñaki Ereño from 1 January 2021 (Bupa)". 10 September 2020.
  11. ^ "#ForbesLive: Iñaki Ereño (Sanitas) próximo invitado". 6 April 2020.
  12. ^ "Iñaki Ereño será el nuevo Group CEO de Bupa, la compañía matriz de Sanitas". El Español. 10 September 2020.
  13. ^ Oliver Wyman Insurance Insights 16th edition, www.oliverwyman.de
  14. ^ a b "Our history". Bupa - an international healthcare company.
  15. ^ "About Us | Bupa Hong Kong". www.bupa.com.hk.
  16. ^ "BUPA Profile | Public Services International Research Unit". www.psiru.org. Retrieved 12 November 2020.
  17. ^ "Aetna acquires Bupa Thailand". Life Insurance International. 25 July 2017. Retrieved 12 November 2020.
  18. ^ "Goldsborough agrees pounds 76m offer from Bupa". The Independent. 7 June 1997.
  19. ^ "Fresh offer from Bupa secures Care First". The Independent. 23 December 1997.
  20. ^ "Bupa Investments raises stake in Saudi's Bupa Arabia for $134mln". www.zawya.com. Retrieved 12 November 2020.
  21. ^ "Bupa completes 4% stake increase in Bupa Arabia". Bupa - an international healthcare company. Retrieved 12 November 2020.
  22. ^ Kollewe, Julia (18 June 2007). "BUPA sells hospitals to private equity firm". The Guardian. Retrieved 13 February 2012.
  23. ^ "MBF-BUPA merger gets court go ahead". ABC News (Australia). 14 May 2008. Retrieved 14 May 2008.
  24. ^ "Amity Group to become Bupa Care Services in Australia". Aged Care Guide.
  25. ^ "Max India". www.maxannualreports.com.
  26. ^ "Bupa boosts stake in Indian JV Max Bupa to 49%". www.internationalinvestment.net. 13 June 2016. Retrieved 12 November 2020.
  27. ^ "Max India sells its stake in Max Bupa but policyholders needn't worry". mint. 3 December 2019.
  28. ^ "Mid Europa Completes the Sale of LUX MED to Bupa". Mid Europa Partners. 15 April 2013. Retrieved 16 November 2015.
  29. ^ "LUX MED is a part of the Bupa". www.luxmed.pl. Retrieved 12 November 2020.
  30. ^ "About Bupa Dental Corporation". Network of AU & NZ Dentists. Retrieved 12 November 2020.
  31. ^ "Bupa acquires Dental Corp". 20 December 2012.
  32. ^ "Investegate |Brit Utd ProvAscBUPA Announcements | Brit Utd ProvAscBUPA: Bupa to acquire Quality HealthCare Medical Service". investegate.co.uk.
  33. ^ "Blue Cross Blue Shield Companies, Bupa Join to Create Largest Global Healthcare Network, Covering 190 Countries". www.bcbs.com.
  34. ^ "Grupo inglés Bupa Sanitas negocia compra de Cruz Blanca y pagará alto premio por acción" [English group Bupa Sanitas negotiates purchase of Cruz Blanca and will pay high premium per share]. La Segunda (in Spanish). 2 December 2013. Retrieved 16 November 2015.
  35. ^ Magazine, iPMI. "Bupa Completes Acquisition Of Cruz Blanca Salud, Chile - iPMI Magazine". ipmimagazine.com.
  36. ^ "Bupa to acquire remaining shares in Bupa Chile". Bupa - an international healthcare company.
  37. ^ "Investegate |Brit Utd ProvAscBUPA Announcements | Brit Utd ProvAscBUPA: Bupa acquires further shares in Bupa Chile". investegate.co.uk.
  38. ^ "Bupa in Chile". Bupa - an international healthcare company.
  39. ^ "Centro Médico". clinicabupasantiago.cl.
  40. ^ "Care Plus, Brazil's leading premium health insurer, joins Bupa". Bupa - an international healthcare company.
  41. ^ "Bupa enters Brazilian market with deal for Care Plus | Valor International". valor.com.br.
  42. ^ "Celesio in exclusivity to acquire Bupa's home care division". Health Investor. 21 January 2016. Retrieved 27 January 2016.
  43. ^ "Bupa snaps up dentistry group Oasis for £835m from private equity house Bridgepoint". City AM. 18 November 2016. Retrieved 15 December 2016.
  44. ^ "Bupa acquires nine new UK and Ireland dental practices". Dentistry. 23 January 2019. Retrieved 28 February 2019.
  45. ^ "Bupa Dental Care acquires 13 new practices". Dentistry.co.uk. 18 July 2019.
  46. ^ "Smiles Dental | Smiles Dental Ireland | Dentist Practice". Smiles Dental.
  47. ^ Bow, Michael (23 August 2017). "HC-One seals Bupa £300m care home deal despite frets on debt". Evening Standard. Retrieved 3 September 2017.
  48. ^ Withers, Iain (23 August 2017). "Bupa sells 122 care homes for £300m" – via www.telegraph.co.uk.
  49. ^ "Advinia acquires 22 Bupa homes". 20 October 2017.
  50. ^ "Sanitas completes acquisition of Néctar Seguros de Salud". Bupa - an international healthcare company.
  51. ^ "Sanitas adquiere Néctar Seguros de Salud, tras la aprobación de la DGS". 8 October 2018.
  52. ^ "Bupa's Sanitas buys major IVF specialist in Spain | IMTJ". imtj.com.
  53. ^ "Sanitas acquires majority stake in Spanish IVF company Ginemed". Bupa - an international healthcare company.
  54. ^ "Bupa Acıbadem Sigorta Homepage". bupaacibadem.com.tr.
  55. ^ Team, Editorial. "Bupa to acquire Turkish health insurer Acibadem Sigorta". ITIJ.
  56. ^ "Investegate |Brit Utd ProvAscBUPA Announcements | Brit Utd ProvAscBUPA: Bupa completes acquisition of Acibadem Sigorta". investegate.co.uk.
  57. ^ "BUPA MÉXICO ADQUIERE LA PROVEEDORA DE SERVICIOS MÉDICOS DE BBVA MÉXICO, VITAMÉDICA". Sanitas (in Spanish). 3 December 2020. Retrieved 16 February 2021.
  58. ^ "Regulator approves transfer of CS Healthcare's members and business to Bupa". Bupa - an international healthcare company. Retrieved 16 February 2021.
  59. ^ "Our organisation". Bupa - an international healthcare company.
  60. ^ Bupa Group solvency financial condition report
  61. ^ 2020 Financial Year Report Presentation, Bupa.com
  62. ^ "Bupa Finance plc half year financial results 2020 (Bupa)". 7 August 2020.
  63. ^ "Bupa Finance plc Half Year Report 2020 – Company Announcement - FT.com". markets.ft.com.
  64. ^ "Investegate |Brit Utd ProvAscBUPA Announcements | Brit Utd ProvAscBUPA: Bupa Half Year Report 2019". investegate.co.uk.
  65. ^ https://www.bupa.com/~/media/files/site-specific-files/our-performance/pdfs/financial-results-2020/annual-report-and-accounts.pdf
  66. ^ "Bupa UK Foundation Homepage". bupafoundation.org.
  67. ^ "Bupa UK Foundation & Mind partnership". mind.org.uk.
  68. ^ Birkwood, Susannah. "Bupa UK Foundation funding programme opens for applications". thirdsector.co.uk.
  69. ^ "About the foundation". www.bupa.com.au. Retrieved 12 November 2020.
  70. ^ "Bupa Health Foundation - Highlights Report 2018". E-brochures.
  71. ^ "About the foundation". www.bupa.com.au. Retrieved 12 November 2020.
  72. ^ Taylor, Jessica. "Bupa Health Foundation: Grants Program 2019".
  73. ^ "Our Funders". Kids Helpline. 23 November 2017.
  74. ^ "Fundación Sanitas".
  75. ^ "Dehydration risk to care home residents". BBC News. 24 September 2015. Retrieved 19 July 2020.
  76. ^ "'At risk' home residents moved". BBC News. 12 June 2013. Retrieved 19 July 2020.
  77. ^ "Bupa cost-cutting 'disgraceful'". BBC News. 16 March 2012. Retrieved 19 July 2020.
  78. ^ "Abuse-hit care home report was delayed". BBC News. 31 May 2018. Retrieved 19 July 2020.
  79. ^ "Care unit closure after 'unsafe' report". BBC News. 2 September 2016. Retrieved 19 July 2020.
  80. ^ "Unsafe care home put in special measures". BBC News. 17 January 2017. Retrieved 19 July 2020.
  81. ^ "Troubled nursing home closed by Bupa". BBC News. 18 June 2014. Retrieved 20 July 2020.
  82. ^ "Breaking the Silence 3 | Compassion in Care". compassionincare.com. Retrieved 19 July 2020.
  83. ^ "Scandal-hit care home to reopen". edinburghnews.scotsman.com. Retrieved 20 July 2020.
  84. ^ CHUBB, EILEEN (November 2016). "Breaking The Silence Part 3 Health Hazards" (PDF). Compassion In Care. p. 20. Retrieved 20 July 2020.
  85. ^ "Bupa data breach hits 500,000 customers". BBC News. 13 July 2017. Retrieved 19 July 2020.
  86. ^ "Bupa fined £3m over Legionnaire's death". BBC News. 14 June 2018. Retrieved 19 July 2020.
  87. ^ "Kenneth Ibbetson: Bupa fine over Legionnaire's death halved". 11 October 2019 – via www.bbc.co.uk.
  88. ^ "Aged Care Updates". Aged Care Updates. Retrieved 6 October 2020.
  89. ^ Knaus, Christopher (8 July 2019). "Australia's biggest private health insurers illegally rejected thousands of claims". The Guardian. Retrieved 19 December 2019.
  90. ^ Murphy, Neil; Bassey, Amardeep (4 September 2019). "Cancer patient found with maggots crawling out of his ears at nursing home". HullLive.
  91. ^ Connolly, Anne; Stewart, John (12 September 2019). "CEO of Bupa says sorry for 'totally unacceptable' neglect and assaults in aged care". ABC News.
  92. ^ "Bupa Aged Care faces ACCC action over alleged false claims at aged care centres". abc.net.au. 16 April 2019. Retrieved 20 July 2020.
  93. ^ "Information for residents and families about the issue with 'Extra Services' in some Bupa care home". www.bupaagedcare.com.au. Retrieved 12 November 2020.
  94. ^ "Federal court approves settlement between ACCC and Bupa". healthdispatch.com.au.