Healthcare insurers are seeing an unprecedented amount of change in their sector following the implementation of ACA. As payers are forced to balance a shift to a more consumer-focused business with adopting technologies that will help them deal with the added risk of members with pre-existing conditions, it’s prompting them to work with early stage companies to see if their technologies can match their needs.
At the MidAmerica Healthcare Venture Forum this week, a group representing Independence Blue Cross Blue Shield, Cigna and Sandbox Industries offered a few different perspectives about how they’re working with entrepreneurs in healthcare.
Change in the customer “Payers have broader memberships now — not just employers but also working directly with members thru exchanges,” said Tom Olenzak, managing director for the strategic innovation portfolio and director of corporate development and innovation at Independence Blue Cross.
With the Rise of AI, What IP Disputes in Healthcare Are Likely to Emerge?
Munck Wilson Mandala Partner Greg Howison shared his perspective on some of the legal ramifications around AI, IP, connected devices and the data they generate, in response to emailed questions.
With individuals getting insurance directly through health insurance exchanges and facing more out of pocket costs from high deductible plans, Anna Haghgooie, managing director of Sandbox Industries, observed that health insurers’ customers are shifting from employers to more individuals. “There’s a shift in the financial decisions from the employer to the employee. When [individuals] are making that decision, they have the right to have more information.”
Communication with members
On the subject of the consumerization of healthcare, Olenzak said payers are finding they need to change how they work with members. “We have been very good at interacting with members 9-5 but we have to figure out how to engage members when and where they want. Telling people what they need to do vs. what have to do. Figuring out what members want from us, and how they want to communicate with us.”
Michael Sturmer, senior director of consumer health engagement at Cigna, said that part of changing how insurers interact with members requires interacting with them as customers first and patients second. In order to engage them they also have to become more like storytellers.
A Personalized Approach to Medication Nonadherence
At the Abarca Forward conference earlier this year, George Van Antwerp, managing director at Deloitte, discussed how social determinants of health and a personalized member experience can improve medication adherence and health outcomes.
“We have always tried to educate customers but the way we have gone about it was not very effective,” Sturmer said. “There’s no reason why we cant be more media savvy and use pop culture.”
Approach to entrepreneurs Turning to its work with entrepreneurs Olenzak said: “Our portfolio is designed to help us do two things: be strategic investors and give us a front row seat” to emerging companies.
He also pointed out that it is looking for ways to connect companies solving different pain points in healthcare.
“One of the things we are looking at are small companies solving a problem across a specific pain point. We are looking at gathering together those solutions…When you start tugging on certain threads in healthcare you realize many of these [solutions] are connected. We’re looking at how to work with these companies to provide end-to-end solutions.”
Sturmer made an interesting point on the downside of painstakingly evaluating a collaborating company’s technology for a wide variety of pain points rather than narrowing their focus. It can seem like “death by a thousand pilots,” and have a dilutive effect on innovation.
