Maximus, Inc. (Maximus) provides government services worldwide.
With nearly 50 years of experience working with local, state, federal, and international government clients, the company designs, develops, and delivers programs that change lives. The company is driven to strengthen communities and improve the lives of those the company serves. The company is a proud partner to government agencies in the United States (U.S.) and worldwide.
The company creates value for its customers through its a...
Maximus, Inc. (Maximus) provides government services worldwide.
With nearly 50 years of experience working with local, state, federal, and international government clients, the company designs, develops, and delivers programs that change lives. The company is driven to strengthen communities and improve the lives of those the company serves. The company is a proud partner to government agencies in the United States (U.S.) and worldwide.
The company creates value for its customers through its ability to translate health and human services public policy into operating models that achieve outcomes for governments at scale. The company’s work covers a broad array of services, including the operation of large health insurance eligibility and enrollment programs; clinical services, including assessments, appeals, and independent medical reviews; and technology services. These services benefit from a market with increasing demographic demand, constrained government budgets, and an increased focus on technology as governments prioritize modernization. The company also demonstrates the ability to move quickly, ranging from digitally enabled contact center support services for natural disaster response to swift establishments of public health and safety initiatives, examples of which occurred during the COVID-19 pandemic. The company’s organic growth through increased contract scope and entry into new markets has been supplemented by strategic acquisitions. In recent years, three acquisitions enhanced the company’s qualifications for servicing the U.S. Federal Government in areas of clinical assessments, leading technology consulting solutions, and digitally-enabled contact center services.
The company is progressing through its strategic plan introduced in 2022. In further expansion of the company’s business and remain in a strong position to capitalize on organic growth opportunities in the company’s core business. The company’s strategic plan consists of three central pillars:
Customer Services, Digitally Enabled. Elevate the customer experience to achieve higher levels of satisfaction, performance, and outcomes through intelligent automation and cognitive computing. The launch of Maximus Total Experience Management (TXM) is evidence of this focus and commitment. TXM is an integrated solution designed to help federal agencies deliver trusted information and government services simply, consistently, and securely. This new differentiated solution seamlessly integrates people, experience, data insights, and secure technologies into one digitally powered platform to reimagine government service delivery.
Future of Health. Help governments reach the rising demand for health services by growing the company’s clinical capabilities and increasing the level of sophistication of underlying tools to improve the health of people and their communities.
Advanced Technologies for Modernization. Further the company’s credibility as a technology leader, enabling the transformation of government programs and legacy system environments to be resilient, dynamic, integrated, and equitable.
The company’s strategic plan is aligned with specific opportunities within all three segments and include a common focus on optimizing processes and simplifying the company’s structure under the company’s Maximus Forward corporate initiative. The company also continue to focus on the company’s people - the foundation of the company’s strategy. As an employer of choice, the company’s goal is to continue to prioritize attracting, retaining, developing, and empowering employees as a central part of the company’s plan for achieving future growth.
Business Segments
The company operates its business through three segments: U.S. Federal Services, U.S. Services, and Outside the U.S. The company operates in the United States and worldwide.
For the year ended September 30, 2024, approximately 50% of the company’s revenue was derived from the U.S. federal government agencies, 36% from the U.S. state government agencies, 12% from foreign government agencies, and the balance from other sources, including local municipalities and commercial customers.
U.S. Federal Services Segment
The company’s U.S. Federal Services Segment delivers solutions that help various U.S. federal government agencies better deliver on their mission, including program operations and management, clinical services, and technology solutions. The segment also includes system and application development, Information Technology (IT) modernization, and maintenance services. Clinical services comprise appeals and assessments services, which include managing the evaluation process for the U.S. veterans and service members on behalf of the U.S. Department of Veterans Affairs (VA) and certain state-based assessments and appeals work that is part of the segment's heritage. Under Technology Consulting Services (TCS), the segment executes on its digital strategy to deliver technology solutions that advance agency missions, including the challenge to modernize, provide better customer experience, and drive process efficiencies.
Program Operations. Program operations include business process services (BPS), eligibility and enrollment, outreach, and other services for federal health and human services programs. In 2022, the company’s contract with the Centers for Medicare and Medicaid Service (CMS) to support the Contact Center Operations was renewed. This contract supports the federal marketplace under the Affordable Care Act (ACA) and serves as the primary support engagement center for Medicare, also known as 1-800-MEDICARE. The contract serves the U.S. population through multiple customer contact centers handling general inquiries for the marketplace and general and claims-based Medicare inquiries.
Under the name Aidvantage, the company is an independent and conflict-free customer service provider assisting borrowers with Department of Education-originated loans. The company views student loan servicing as an opportunity to apply the company’s insights, expertise, and quality-driven approach through support for Federal Student Aid (FSA) and student borrowers.
The manner in which the company provides these services varies from contract to contract but may include a mix of digitally enabled contact centers, mail-room operations, and mobile and website media.
Clinical Services. In line with the company’s strategic focus for the future, this division continues to expand its clinical programs, most notably through the VA medical disability examinations (MDE) contracts. As a leading provider of MDEs, the company administers the clinical evaluation process for the U.S. veterans and service members on behalf of the VA and manages a vast network of experienced clinicians focused on serving veterans. This highly-scaled platform in the U.S. federal government domain is an in-demand capability across a multitude of agencies.
The independent health and disability assessments and appeals portion of the company’s business is a growing part of its overall portfolio, lending further credibility to the company’s organic growth efforts with other Federal departments and in non-Federal markets.
Technology Solutions. Under this division, the company executes on digital strategy to deliver technology solutions that advance agency missions, including the challenge to modernize, provide better customer experience, and drive process efficiencies. The company’s core capabilities include:
Application development & modernization: Modernize, develop, and deliver solutions utilizing automation and agile development, security, and operations (DevSecOps) practices.
Enterprise Business Solutions: Integrate and manage disparate business processes and systems.
Advanced Analytics & Emerging Technologies: Provide technology services to leverage and integrate the latest technologies for AI/ML, automation, and high-performance computing.
Cybersecurity: Deliver full spectrum cybersecurity services, including cyber engineering and operations, digital forensics, and incident response.
Infrastructure and Engineering: Deploy solutions that leverage cloud-hosted and on-premise designs to optimize costs.
The company also builds digital qualifications in the market. The company utilizes AI and machine learning to build bespoke data models, providing predictive analytics to maximize process efficiency, as well as identify systemic process issues that can be isolated and prioritized for troubleshooting. End-to-end automation of software development and business processes achieves speed, efficiency, and error reduction, as well as advanced tool capabilities, resulting in greater operational efficiency, enhanced customer experiences, and increased return on investment. Finally, high-performance computing clusters support mission requirements for data mining, scientific modeling, advanced analytics, research, and machine learning.
The majority of this segment contains performance-based contracts where revenue is earned from transaction-based measures, such as the number and type of assessments or appeals processed, or participant numbers.
The company’s primary competitors in the U.S. Federal Services Segment are General Dynamics Information Technology, Deloitte, Leidos, IBM, Accenture, Booz Allen Hamilton, and other federal contractors.
U.S. Services Segment
The company’s U.S. Services Segment provides a variety of services, such as program operations, clinical services, employment services and technology solutions and related consulting work for the U.S. state and local government programs. These services support a variety of programs, including the programs under ACA, Medicaid, the Children's Health Insurance Program (CHIP), Temporary Assistance to Needy Families (TANF), and child support programs.
Program Operations. Program operations include the company’s comprehensive program administration services for government health benefit programs. The services the company provides vary from program to program but may include:
Centralized multilingual customer contact centers and multichannel, digital self-service options to better serve citizens' needs;
Application assistance and independent health plan choice counseling to beneficiaries to help them access benefits and make informed choices;
Beneficiary outreach, education, eligibility assistance, enrollment, and redeterminations services. In programs such as Medicaid, Maximus does not make the final determination of eligibility; and
Administration of programs that provide subsidized telephone services for eligible consumers.
As a leading supplier in many of the health program administration markets that the company serves, the company is the largest provider of Medicaid eligibility support and enrollment services and state-based health insurance exchange operations.
Clinical Services. Clinical services include the company’s person-centered assessment services, primarily to determine consumers' eligibility for Medicaid Long-Term Care services. Clinical services is a growing portion of the segment and demonstrates successful focus and execution of the company’s continued strategy. The company’s services help governments engage with program recipients while at the same time helping improve the efficiency, cost-effectiveness, quality, and accountability of state health and disability benefits programs. These include person-centered independent assessments of the elderly; physically, intellectually, or developmentally disabled consumers, including adults and children in need of long term services and support; and Preadmission Screening and Resident Reviews, which fulfill a federal requirement to help ensure that individuals are not inappropriately placed in nursing homes for long term care. The company is a leading provider of such services in the U.S.
Employment Services. Employment services cover a number of attributes, including eligibility support, case management, job-readiness preparation, job search and employer outreach, job retention and career advancement, and selected educational and training services, including vocational training. Children services include full and specialized child support case management services through customer contact center operations and program and systems consulting services.
Technology Solutions. Technology solutions offer state and local governments assistance with system planning, implementation oversight, and the construction and maintenance of client systems to allow processing of transactions. The company also provides system implementation project management and independent verification and validation services to state and local clients. The company’s Independent Verification and Validation (IV&V) services provide comprehensive objective testing to confirm that requirements in client systems are correct, and validate that the system correctly implements the functionality and security requirements. Consistent with the company’s overall corporate strategy, technology solutions in the company’s U.S. Services Segment is an area of focus for growth.
The rest of the segment's revenue is from specialized consulting services. These services include financial consulting, including cost allocation plans, business process assessment and design, quality assurance processes, including policy and procedure reviews, and audit preparation and compliance, including grant and proposal reviews. The segment also assists commercial customers in claiming workforce and location-based tax benefits.
A small number of large states comprise a significant share of this segment's revenue. In addition, even though the majority of the company’s direct clients are state governments, a significant amount of the company’s revenue is ultimately funded via the U.S. federal government in the form of cost-sharing arrangements with the states, as is the case with Medicaid.
The company’s primary competitors are government insourced operations. External competitors include Conduent, Automated Health Systems, TTEC, Acentra Health, GetInsured, Veritas, Public Consulting Group, and Deloitte. Some of these companies compete with the segment in a single market, while others compete in multiple markets.
Outside the U.S. Segment
The company’s Outside the U.S. Segment provides BPS and technology solutions for international governments. These services include health and disability assessments, program administration for employment services, wellbeing solutions and other job seeker-related services, digitally-enabled customer services, and advanced technologies for modernization. The company supports programs and deliver services in the United Kingdom, including the newly awarded Functional Assessment Services (FAS) contract, which replaced the Health Assessment Advisory Service (HAAS) contract, and the Restart employment program; and Australia, including Workforce Australia, and other employment support and job seeker services in a number of other countries.
The company divested a small commercial practice in the U.K. and the company’s business in Sweden during 2023. The company also divested its businesses in Italy and Singapore, as well as the company’s Canadian employment services business during the first quarter of fiscal year 2024.
Employment Services. Comprehensive employment services help vulnerable individuals transition from government assistance programs to sustainable employment and economic independence. These services cover a number of attributes, including eligibility determination, case management, job-readiness preparation and work capability assessments, job search and employer outreach, job retention and career advancement, and selected educational and training services. Payment terms are typically focused on achieving employment outcomes.
Clinical Services. Clinical services include appeals and assessments work. On these contracts, the company is typically reimbursed for each transaction. The FAS contract supersedes the company’s flagship HAAS contract and is a hybrid contract with cost-plus elements coupled with a number of incentives and penalties to achieve the programmatic outcomes defined by the government in order to ensure quality and timeliness of service. Maximus carries out these assessments on behalf of the Department for Work and Pensions (DWP), and the DWP makes the final decision on the level of benefit.
The balance of the segment provides program administration and some specialized services.
The company’s primary competitors in this segment include Atos, Capita, Serco, Staffline, Shaw Trust, Reed in Partnership, Ingeus, Advanced Personnel Management, IBM, Telus-Health, NTT Data, Pacific Blue Cross, Sawaeed, Elm, and other specialized private companies and nonprofit organizations.
Government Regulations
The company’s business is heavily regulated. In the U.S., the company must adhere to local, state, and federal laws and regulations. Within the U.S. Federal Services Segment, the company must also comply with the Federal Acquisition Regulations (FAR), which regulates the procurement, award, administration, and performance of the U.S. government contracts. Outside the U.S., the company must also comply with local laws and regulations as determined by geography, as well as the U.S. government laws.
History
Maximus, Inc., a Virginia Corporation, was founded in 1975. The company was incorporated in 1975.
